GK
MARKETING MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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elastic
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neutral
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inelastic
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unitary
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Detailed explanation-1: -Inelastic demand occurs when demand hardly changes when there is a small change in price. Elastic demand occurs when demand changes greatly for a small change in price.
Detailed explanation-2: -If the quantity demanded of a product changes greatly in response to changes in its price, it is elastic.
Detailed explanation-3: -Price elasticity refers to the extent to which changes in price affect the demand for a product. In other words, it measures the responsiveness of consumers to changes in the price of a product. If a product is price elastic, a small change in price will result in a large change in the demand for that product.
Detailed explanation-4: -Which of the following is true regarding the price elasticity of demand? The more price responsive consumers are, the flatter the demand curve is.