When the price of bananas is 50 cents a pound, the total demand is 100 pounds. if the price elasticity of demand for bananas is -2, what quantity would be demanded if the price rose to 60 cents a pound?

The quantity would decrease to 60 pounds.

Explanation:

The price of bananas is 50 cents.

The total demand is 100 pounds.

The price elasticity of bananas is -2.

The price elasticity =

-2 =

-2 =

-0.4 =

-40 = Q2-100

Q2 = 60

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