What does it tell you if demand is price inelastic?
A) The change in quantity demanded is less than the price change in percentages.
B) Demand does not change when price changes.
C) Revenue falls when price increases.
D) There are many producers.

Question

Quizplus · Accepted Answer

When demand is price inelastic, it means that the percentage change in quantity demanded is less than the percentage change in price, indicating consumers are less responsive to price changes for that good or service.

What Does It Tell You If Demand Is Price Inelastic