Economics 9708 · AS & A Level · Price elasticity of demand

Price elasticity of demand — practice question

The table compares Shanaz’s and Sunil’s price elasticity of demand for restaurant meals and theatre tickets. The price of restaurant meals rises, whereas the price of theatre tickets falls. What can be concluded after these changes in price?

  • ARestaurant owners will receive more income.
  • BShanaz will spend more money on both theatre tickets and restaurant meals.
  • CSunil will spend more money on both theatre tickets and restaurant meals.
  • DTheatre owners will receive less income.

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