Over a particular price range,if the quantity effect of a price decrease is larger than the price effect,it implies that ________ for that price range.
A) demand is inelastic
B) demand is elastic
C) the demand curve is vertical
D) the demand curve is upward sloping

Question

Quizplus · Accepted Answer

When the quantity effect of a price decrease is larger than the price effect, it indicates that the demand is elastic. This means that consumers are highly responsive to changes in price, and a decrease in price will result in a larger increase in quantity demanded.

Over a Particular Price Range,if the Quantity Effect of a Price