A business is experiencing ________ demand when a small change in price produces a large change in demand for a product.
A) elastic
B) inelastic
C) relative
D) rigid
E) dynamic

Question

Quizplus · Accepted Answer

Elastic demand occurs when a small change in price leads to a significant change in the quantity demanded, indicating that consumers are sensitive to price changes.

A Business Is Experiencing ________ Demand When a Small Change