Question: Linear demand functions, while simple, are easy to interpret and have many applications. Suppose demand for pens is given by the functionD(p)=30.001.00p Suppose pens cost

Linear demand functions, while simple, are easy to interpret and have many applications. Suppose demand for pens is given by the functionD(p)=30.001.00p

Suppose pens cost $2. What is the price elasticity of demand? Give your answer to two decimals.

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