Elasticity (E) = (% Change in Quantity Demanded / % Change in Price) In this case, the elasticity (E) is given as -2, which means it's inelastic (since it's negative). We can rearrange the formula to solve for the % Change in Quantity Demanded: % Change in Quantity Demanded = E * (% Change in Price) Now, let's calculate the % Change in Price: % Change in Price = [(2 - 1) / 1] * 100% % Change in Price = [($3.00 - $2.50) / $2.50] * 100% % Change in Price = [($0.50 / $2.50)] * 100% % Change in Price = (1/5) * 100% % Change in Price = 20% Now, we can use the price elasticity (-2) to find the % Change in Quantity Demanded: % Change in Quantity Demanded = -2 * 20% % Change in Quantity Demanded = -40% Now, we'll calculate the change in quantity demanded from week 1 (1) to week 2 (2): Change in Quantity Demanded = % Change in Quantity Demanded * 1 Change in Quantity Demanded = (-40% * 200) Change in Quantity Demanded = -80 donuts Since the change in quantity demanded is negative, it means that the demand