Asked by Gerson Torres on Jul 06, 2024
Verified
If demand is elastic,then the elasticity of demand is
A) zero.
B) between zero and 1.
C) 1.
D) more than 1.
Elasticity of Demand
A measure of how much the quantity demanded of a good responds to a change in the price of that good, indicating the sensitivity of consumers to price changes.
- Understand thoroughly the notion and consequences of price elasticity in demand.
Verified Answer
DA
dequez AndrewsJul 09, 2024
Final Answer :
D
Explanation :
If demand is elastic, it means that a small change in price leads to a relatively larger change in the quantity demanded. This indicates that the elasticity of demand is greater than 1.
Learning Objectives
- Understand thoroughly the notion and consequences of price elasticity in demand.