When a consumer's change in quantity demanded for a product is relatively smaller than the change in the price of that product, then demand is considered to be:
A) unit elastic.
B) elastic.
C) perfectly inelastic.
D) inelastic.

Question

Quizplus · Accepted Answer

When the change in quantity demanded is relatively smaller than the change in price, demand is considered inelastic. This means consumers are less responsive to price changes.

When a Consumer's Change in Quantity Demanded for a Product