Suppose the absolute value of the price elasticity of demand for basketball game tickets on your campus is greater than 1.Increasing ticket prices will increase the total revenue from ticket sales.

Question

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If the absolute value of the price elasticity of demand for basketball game tickets on your campus is greater than 1, it means that the demand for tickets is relatively elastic. This implies that if ticket prices are increased, the quantity demanded will decrease by a proportionately larger amount, resulting in a decrease in total revenue from ticket sales. Therefore, increasing ticket prices will not increase the total revenue from ticket sales.

Suppose the Absolute Value of the Price Elasticity of Demand