It takes only a small increase in the price of cigarettes to reduce demand by a significant amount.

Name: It takes only a small increase in the price of cigarettes to reduce demand by a significant amount.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The demand for cigarettes is generally considered to be inelastic, meaning that increases in price lead to relatively small decreases in demand because consumers are less sensitive to price changes due to the addictive nature of tobacco.

It Takes Only a Small Increase in the Price of Cigarettes