Question: 1. The current price for a high speed train ticket from Toulouse to Barcelona is 30 euros. Trains are currently operating at 80% capacity. Demand

1. The current price for a high speed train ticket from Toulouse to Barcelona is 30 euros. Trains are currently operating at 80% capacity. Demand is linear and downward slopng7 and the estimated elasticity is 1.5. Which of the following is true? A. decreasing the price by a small amount would increase revenue B. increasing the price by a small amount would increase revenue C. reducing capacity by a small amount would increase revenue D. none of the above is necessarily true

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