If the elasticity for computers at the current price is at 6.4 what would happen to total revenues if a computer manufacturer doubled its price?

1 answer

Answer

1097557

2026-03-02 15:25

+ Follow

If the elasticity for computers is 6.4, it indicates that the demand for computers is highly elastic. This means that a price increase would lead to a proportionally larger decrease in quantity demanded. Therefore, if a computer manufacturer doubled its price, total revenues would decrease significantly, as the loss in sales volume would outweigh the gains from the higher price.

ReportLike(0ShareFavorite

Copyright © 2026 eLLeNow.com All Rights Reserved.