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What effect does price elastic demand have on a producer should the price of a product increase?
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What effect does price elastic demand have on a producer should the price of a product increase?

User Alfonzjanfrithz
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If demand is elastic at a given price level, then should a company cut its price, the percentage drop in price will result in an even larger percentage increase in the quantity sold—thus raising total revenue.
User Cees Meijer
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