Airbus, the aircraft manufacturer, estimates the elasticity of demand for new commercial jets is -1.25. Explain why the following statements are either true or false (i.e., state whether true or false and explain why).

a)"The price effect dominates the quantity effect."

b)"A 4 percent increase in the number of jets sold will require a 5 percent decrease in the price of jets."

c)"A 5 percent decrease in the price of jets will increase Boeing's total revenue."