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Suppose that the price elasticity of demand for mystery novels is 3. If we observe the quantity of mystery novels sold falling by 9%, what must have happened to price?

A. Price decreased by 3%.
B. Price increased by 3%.
C. Price decreased by 27%.
D. Price increased by 1%.

// Economics question but yeah.

User Uvsmtid
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1 Answer

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B. Price increased by 3%.
User Matthew Nichols
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