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Determine the price elasticity of demand if, in response to an increase in price of 25 percent, quantity demanded decreases by 55 percent.
Instructions: Enter your response rounded to one decimal place.
Price elasticity of demand: ________
Is demand elastic or inelastic?
In the U.S., what fiscal and monetary policy had a negative impact on its equilibrium of prices? How could a free market society avoid that negative impact and maintain both production and price? Please give details.
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