Asked by Kevin Rodrigues on May 07, 2024
Verified
If the price of a product increases by 10 percent and sales volume falls by 1 percent, demand for the product is ______.
A) price elastic
B) price inelastic
C) price volatile
D) price subjective
Price Inelastic
Describing a situation where the demand for a product does not significantly change with a change in the product's price.
Price Elastic
A measure of how the quantity demanded of a product or service changes in response to a change in its price.
Sales Volume
The total quantity of goods or services sold within a specific period, often used as an indicator of business performance.
- Acquire insight into the notions of price elasticity and inelasticity, as well as the variables that impact them.
Verified Answer
Learning Objectives
- Acquire insight into the notions of price elasticity and inelasticity, as well as the variables that impact them.
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