If the price elasticity of demand between two points on a demand curve is 0.75,then the demand between those two points is:
A)price unit-elastic.
B)price-inelastic.
C)price-elastic.
D)unknown.

Question

Quizplus · Accepted Answer

Price elasticity of demand measures how much the quantity demanded of a good responds to a change in its price. If the elasticity is less than 1, it is considered price-inelastic, meaning that the quantity demanded is relatively unresponsive to price changes. Since 0.75 is less than 1, the demand is price-inelastic.

If the Price Elasticity of Demand Between Two Points on a Demand