If demand is highly elastic and supply shifts to the right:
A) price will fall significantly; quantity hardly changes at all.
B) price will hardly change at all; quantity will rise significantly.
C) price will rise significantly as will quantity.
D) price and quantity will hardly change at all.

Question

Quizplus · Accepted Answer

When demand is highly elastic, consumers are very responsive to price changes. Therefore, a rightward shift in supply will lead to a significant increase in quantity demanded with little change in price.

If Demand Is Highly Elastic and Supply Shifts to the Right