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user100 [1]
3 years ago
5

The price elasticity of demand if the price of a pint falls from $8 to $6 is

Business
1 answer:
melamori03 [73]3 years ago
6 0
It means to say that the demand of the product is decreasing.  The relationship between the price and demand is one way. It means to say that if the price increases, the demand is higher. In this scenario, the price increases to avoid shortage on the product. If the price is decreasing, it means to say that the demand is decreasing and can possibly cause surplus on the said product. Lowering the price allows consumers to have higher purchasing power and enticing them to purchase such product.
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