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In Business / College | 2025-07-04

A good is said to be elastic if a small change in price causes a large change in quantity demanded.

True
False

Asked by nemofish1888

Answer (2)

A good is elastic if a small price change leads to a large change in quantity demanded. This concept is critical in economics, distinguishing elastic goods like luxury items from inelastic goods like essentials. The correct answer to the question is True.
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Answered by Anonymous | 2025-07-04

A good is considered elastic when a small change in price leads to a large change in quantity demanded. This behavior is common in luxury or substitutable goods. In contrast, inelastic goods show little change in quantity demanded despite price fluctuations. ;

Answered by GinnyAnswer | 2025-07-04

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