A jeweller reduces the price of her gold earrings from $400 to $350 per unit, resulting in an increase in demand from 25 units to 30 units per month.
A jeweller reduces the price of her gold earrings from $400 to $350 per unit, resulting in an increase in demand from 25 units to 30 units per month. Calculate the value of the price elasticity of demand for the earrings and comment on the result.