Q. If the demand for a commodity is inelastic, an increase in its price will cause the total expenditure of the consumers of the commodity to:
A. Remain the same
B. Increase
C. Decrease
D. Any of the above
Answer: Increase
Q. If the demand for a commodity is inelastic, an increase in its price will cause the total expenditure of the consumers of the commodity to:
A. Remain the same
B. Increase
C. Decrease
D. Any of the above
Answer: Increase