If the price of leeks falls by $2 per pound, then the demand for leeks will rise by 10 pounds.Therefore we can conclude that the demand for leeks is elastic.

Question

Quizplus · Accepted Answer

The statement does not provide enough information to determine elasticity, as it lacks the original price and quantity demanded to calculate the percentage change in quantity demanded over the percentage change in price. Elasticity depends on the relative changes, not just absolute changes.

If the Price of Leeks Falls by $2 Per Pound