When hamburger is $3 per pound,Ms.Rush buys 6 pounds.When hamburger is $2 per pound,Ms.Rush buys 10 pounds.Describe Ms.Rush's demand between these two prices.
A) elastic
B) unit elastic
C) inelastic
D) perfectly inelastic
E) perfectly elastic

Question

Quizplus · Accepted Answer

Ms. Rush's demand is elastic between these two prices because she changed the quantity of her purchases significantly in response to the change in price. When the price decreased from $3 per pound to $2 per pound, her purchase quantity increased from 6 pounds to 10 pounds, which is more than a proportional change. Therefore, her demand is elastic.

When Hamburger Is $3 Per Pound,Ms