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Which of the Following Statements Is False Regarding Price Elasticity

Question 14

Multiple Choice

Which of the following statements is false regarding price elasticity?


A) The impact of price changes on sales volume is defined as price elasticity.
B) Demand is elastic if a price increase has a large negative impact on sales volume.
C) Demand is elastic if price changes have no impact on sales quantity.
D) Demand is inelastic if price changes have little or no impact on sales quantity.

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