Which of the following is not characteristic of the demand for a commodity that is elastic?
A) The relative change in quantity demanded is greater than the relative change in price.
B) Buyers are relatively sensitive to price changes.
C) Total revenue declines if price is increased.
D) The elasticity coefficient is less than one.

Question

Quizplus · Accepted Answer

The elasticity coefficient for a commodity that is elastic must be greater than one, indicating that the percent change in quantity demanded is greater than the percent change in price.

Which of the Following Is Not Characteristic of the Demand