Question: Suppose that your firm has steadily seen units sold rise over time. In the recent past, your pricing manager increased price on units and you are asked to evaluate it. What you see in your analysis of the trends is an continued increase in units sold, albeit at somewhat of a lesser rate for a period of time.
How do you use economics to explain this to your management? After all, economics holds that the relationship between price and quantity demanded is inverse, according to your manager.