Problem on demand for plastic surgery-price inelastic


Question:

Assume the demand for plastic surgery is price inelastic. Are the following statements true or false? Explain.

a. when the price of plastic surgery increases, the number of operations decreases.

b. the percentage change in the price of plastic surgery is less than the percentage change in quantity demanded.

c. changes in the price of plastic surgery do not effect the number of operations

d. quantity demanded is quite responsive to changes in price

e. if more plastic surgery is performed, expenditures on plastic surgery will decrease.

f. the marginal revenue of another operation is negative.

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Microeconomics: Problem on demand for plastic surgery-price inelastic
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