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View Answer elasticity 2.pdf from ECONOMICS ee211 at Thammasat University. the law of demand states that when the price of a product or service is lower, consumers will buy more of it. �6\�68ycI0��[J��9�L�C|�R�kދc�U������Z��d��@g� � k_6EH\�M��Y��, %���� 3 0 obj the desire to own something and the ability to pay for it. Be sure each word is spelled correctly. Directions: Using the following demand schedule, create a demand curve graph. and demand worksheet answer key that you are looking for. this economic law is the result of the substitution effect and the income effect. For group A, since the price elasticity of demand is .625 (6.25%) and demand is inelastic, total revenue will decrease as a result of the discount. No. The following table gives the daily supply and demand for hot dogs at a sporting event. You could of course imagine about setting them. 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