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A DVD store raised the price of its DVDs from $18 to $22. Correspondingly, sales fell from 1,200 to 800 per month.Ignoring the negative sign,

A DVD store raised the price of its DVDs from $18 to $22. Correspondingly, sales fell from 1,200 to 800 per month.Ignoring the negative sign, what is the price elasticity of demand?

(Round to two decimal places and use the midpoint formula for price elasticity of demand.)

Demand is

a inelastic

b elastic

c indeterminate

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