A demand relationship in which a given percentage change in price will result in a less than proportionate percentage change in quantity demanded is
A) elastic.
B) unit-elastic.
C) inelastic.
D) consistent with zero elasticity.

Question

Quizplus · Accepted Answer

This describes an inelastic demand relationship, where changes in price have a relatively small impact on the quantity demanded. This is often the case for products or services that are necessities or have few substitutes.

A Demand Relationship in Which a Given Percentage Change in Price