The local National Hockey League (NHL)team decides to lower its ticket prices in order to attract more fans.It is hoping that the

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This is because the team is hoping that by lowering prices, more fans will attend the games, resulting in an increase in the quantity demanded. The team is assuming that the increase in demand will offset the decrease in price, resulting in an overall increase in revenue. This strategy is based on the assumption that price elasticity of demand is elastic, meaning that a decrease in price will result in a proportionately larger increase in quantity demanded, resulting in an increase in total revenue.

The Local National Hockey League (NHL)team Decides to Lower Its