The price elasticity of demand measures
A)buyers' responsiveness to a change in the price of a good.
B)the extent to which demand increases as additional buyers enter the market.
C)how much more of a good consumers will demand when incomes rise.
D)the movement along a supply curve when there is a change in demand.

Question

Quizplus · Accepted Answer

The price elasticity of demand specifically measures how much the quantity demanded of a good responds to a change in its price, indicating buyers' responsiveness or sensitivity to price changes.

The Price Elasticity of Demand Measures