If the demand for a good is elastic, when the price increases,
A) the quantity demanded will decrease by a smaller percentage than the price increased.
B) demand will decrease.
C) the quantity demanded will decrease by a greater percentage than the price increased.
D) the quantity demanded will increase.

Question

Quizplus · Accepted Answer

When the demand for a good is elastic, it means that consumers are very responsive to price changes. Therefore, if the price increases, the quantity demanded will decrease by a greater percentage than the price increased, as consumers will significantly reduce their consumption or switch to alternatives.

If the Demand for a Good Is Elastic, When the Price