Economics 0455 · IGCSE · Price elasticity of demand (PED)

Price elasticity of demand (PED) — practice question

A mobile (cell) phone provider raises the charge for calls made on its network. Following the price increase, the operator’s revenue decreases by $10\%$. What is the price elasticity of demand (PED) for the service offered by the mobile operator?

  • Aelastic
  • Binelastic
  • Cperfectly elastic
  • Dunit elastic

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