If demand is elastic,then
A)the percentage change in quantity demanded is larger in absolute value than the percentage change in price
B)supply is inelastic
C)prices can neither rise nor fall
D)the percentage change in quantity demanded is smaller in absolute value than the percentage change in price
E)supply is elastic

Question

Quizplus · Accepted Answer

Elastic demand means that the quantity demanded is very responsive to changes in price. This means that if the price changes, there will be a relatively large change in the quantity demanded. So, the percentage change in quantity demanded is larger in absolute value than the percentage change in price.

If Demand Is Elastic,then