Answer to Question #133425 in Microeconomics for KC

Question

If the price for housing falls and the demand for housing is inelastic, then:
a) the percentage rise in quantity demanded is greater than the percentage fall in price and total revenue rises.

b)the percentage rise in quantity demanded is equal to the percentage fall in price and total revenue remains constant

c)the percentage rise in quantity demanded is greater than the percentage fall in price and total revenue falls

d)the percentage rise in quantity demanded is less than the percentage fall in price and total revenue falls.

Answer 1

d)the percentage rise in quantity demanded is less than the percentage fall in price and total revenue falls.