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1. If the price of a bicycle in the market, which is pg 2 $300 at rst, changes by Ap 2 $20, then the quantity

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1. If the price of a bicycle in the market, which is pg 2 $300 at rst, changes by Ap 2 $20, then the quantity demanded, which is at rst (10 = 4,200 bicycles, changes by Ag 2 400 bicycles. Determine the priceelasticity of demand for bicycles under these conditions. Interpret your result. [1.5 points]

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