When quantity demanded responds substantially to changes in price,what is demand said to be
A)elastic
B)inelastic
C)unit elastic
D)perfectly elastic

Question

Quizplus · Accepted Answer

When quantity demanded responds substantially to changes in price, demand is said to be elastic. This means that even a small change in price leads to a significant change in the quantity demanded. In other words, consumers are very sensitive to changes in price when demand is elastic. This is contrasted with inelastic demand, which means that consumers are not very responsive to changes in price. Elasticity of demand is an important concept in understanding consumer behavior and market dynamics.

When Quantity Demanded Responds Substantially to Changes in Price,what Is