Suppose the own price elasticity of demand for good x is -0.5, and the price of good X increases by 10 percent. What will happen to the total expenditures on good X?

a. Increase

b. Decrease

c. Remain unchanged

d. Neither increase, decrease, nor remain unchanged

Suppose the own price elasticity of demand for good x is -0.5, and the price of good X increases by 10 percent. We would expect the quantity damanded of good X to?

a. Increase by 5%

b. Increase by 20%

c. decrease by 5%

d. Decrease by 20%