Economics 0455 · IGCSE · Price elasticity of demand (PED)

Price elasticity of demand (PED) — practice question

A business alters the price of its product and discovers that its revenue rises. Which pair of price change and price elasticity of demand would explain this?

  • Aprice falls; price elasticity of demand between $0$ and $1$
  • Bprice falls; price elasticity of demand equal to $1$
  • Cprice rises; price elasticity of demand between $0$ and $1$
  • Dprice rises; price elasticity of demand greater than $1$

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