If the quantity demanded of a certain good responds only slightly to a change in the price of the good,then
A) the demand for the good is said to be elastic.
B) the demand for the good is said to be inelastic.
C) the law of demand does not apply to the good.
D) the demand curve for the good shifts only slightly in response to a change in price.

Question

Quizplus · Accepted Answer

When the quantity demanded of a certain good responds only slightly to a change in the price of the good, the demand for the good is said to be inelastic. This means that consumers are not very responsive to changes in price, and therefore the demand curve will be relatively steep. In contrast, when the quantity demanded is highly responsive to changes in price, the demand for the good is said to be elastic, and the demand curve will be relatively flat.

If the Quantity Demanded of a Certain Good Responds Only