When the price of charcoal grills increases,total revenue increases for charcoal grill retailers.From this information,we can conclude that
A) the law of demand does not hold.
B) the demand for charcoal grills is inelastic.
C) the supply of charcoal grills is inelastic.
D) corporations are greedy.

Question

Quizplus · Accepted Answer

The fact that the total revenue increases when the price of charcoal grills increases suggests that the demand for charcoal grills is inelastic. This means that consumers are not highly sensitive to changes in the price of charcoal grills and are willing to buy them even at higher prices, resulting in higher revenue for retailers. The other options (A, C, and D) are not supported by the given information.

When the Price of Charcoal Grills Increases,total Revenue Increases for Charcoal