Gabriel's demand for chocolate bars is inelastic.If the price of chocolate bars increases,he will ________.
A) spend the same amount of money on chocolate as before
B) spend less amount of money on chocolate than before
C) spend more amount of money on chocolate than before
D) buy the same number of chocolate bars as before

Question

Quizplus · Accepted Answer

When demand is inelastic, a price increase leads to a less than proportionate decrease in quantity demanded, resulting in higher total expenditure on the good.

Gabriel's Demand for Chocolate Bars Is Inelastic