Inelastic Demand Exists When

question 12

Multiple Choice

Inelastic demand exists when

• A)a small percentage decrease in price produces a smaller percentage increase in quantity demanded.
• B)a small percentage increase in price produces a larger percentage increase in quantity demanded.
• C)an increase in price is impossible due to government restrictions.
• D)the quantity demanded remains the same regardless of any changes in marketing strategies.
• E)the price is governed by outsides entities but the demand remains high due to these restrictions that make the product exclusive.

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