akeem asked in Social ScienceEconomics · 1 month ago

When the demand curve is relatively inelastic and the price falls, what happens to total revenue?

2 Answers

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  • kswck2
    Lv 7
    1 month ago

    Revenue will decrease because demand decreases, despite the price drop. 

  • Oiy
    Lv 6
    1 month ago

    The quantity demanded will smaller increase than the price reduction in terms of percentage. The revenue will fall.

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