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The price elasticity of demand for widgets is 2.5. Assuming no change in the demand curve for widgets, a 15 percent decrease in sales implies

The price elasticity of demand for widgets is 2.5. Assuming no change in the demand curve for widgets, a 15 percent decrease in sales implies a(n)

Multiple Choice

37.5 percent increase in price.

6 percent increase in price.

4 percent increase in price.

8 percent increase in price.

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