When the price elasticity of demand is elastic,a consumer is
A) completely unresponsive to a change in price.
B) relatively unresponsive to a change in price.
C) unaffected by a change in price.
D) relatively responsive to a change in price.
E) completely responsive to a change in price.

Question

Quizplus · Accepted Answer

When the price elasticity of demand is elastic, it means that the quantity demanded is relatively responsive to a change in price. This means that a small change in price will cause a relatively large change in quantity demanded. Therefore, consumers are relatively responsive to a change in price.

When the Price Elasticity of Demand Is Elastic,a Consumer Is