NEED FULL AND BEST SOLUTION FOR THE FOLLOWING QUESTION THE A

NEED FULL AND BEST SOLUTION FOR THE FOLLOWING QUESTION

THE ANSWER IS 0.2 GIVE THE BEST SOLUTION FOR THE RATING.

Gas prices recently increased by 25%. In response, purchases of gasoline decreased by 5%, Based on this data, the price elasticity of demand for gas O 0.2 00.5

Solution

price elasticity of demand for gas

=% change in quantity/% change in price

=5%/25%

=0.2

the above is the answer