If the price elasticity of demand for a good is 0.8, then a A) ...

[asan beg]

If the price elasticity of demand for a good is 0.8, then a
 
  A) 1 percent rise in the price leads to a 0.8 percent decrease in the quantity demanded.
  B) one dollar rise in the price leads to a 0.8 percent decrease in the quantity demanded.
  C) 1 percent rise in the price leads to an 80 percent decrease in the quantity demanded.
  D) 1 percent rise in the price leads to an 8 percent decrease in the quantity demanded.

Question 2

Which of the following are parts of the business cycles?
 
  A) peak and potential GDP
  B) real GDP and potential GDP
  C) recession and expansion
  D) inflation and recession

[TheDev123]

Answer to Question 1

A

Answer to Question 2

C

[asan beg]

Thanks for the timely response, appreciate it

[Joy Chen]

YES! Correct, THANKS for helping me on my review