Suppose the price of movie tickets changes. the price change leads to a 10 percent increase in the quantity demanded of movie tickets. this causes the total revenue from movie tickets to increase by 5 percent. is the demand for movie tickets elastic or inelastic

Respuesta :

The answer is "Elastic".


Since the amount demanded of movie tickets raised, the cost of a motion picture ticket probably decreased by the law of demand. Besides demand must be Elastic over this cost run as aggregate income expanded, while cost diminished. Price and revenue demonstrate an inverse relationship.

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