If demand changes greatly with a small change in price,we say the demand is ________.
A) variable
B) inelastic
C) value-based
D) elastic
E) fixed

Question

Quizplus · Accepted Answer

When demand changes greatly with a small change in price, we say the demand is elastic. This means that consumers are sensitive to price changes and will adjust their consumption accordingly. Inelastic demand, on the other hand, means that consumers do not significantly change their consumption habits when prices change.

If Demand Changes Greatly with a Small Change in Price,we