In 2000 Dominos Pizza, a corporate sponsor of the New Orleans Saints, offered to reduce the price of its medium-size pizza by $1 for every touchdown scored by the Saints during the previous week. Much to the surprise of Dominos during the National Football Conference Championship game the Saints scored seven touchdowns. Dominos pizzas were selling for $3 a pie! The quantity of pizza demanded soared the following week from 10 pies an hour to 50 pies an hour. What was the price elasticity of demand for Dominos pizza? Did Dominos revenue rise or fall? Carefully Explain.

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The detailed answer for the above question is provided below To calculate the price elasticity of demand for Dominos pizza we need to use the formula Price elasticity of demand percentage change in qu... View the full answer