Tom cruise is a 17 year old high school student who works as an assistant manager at the local movie theater. if an increase in the price of movie tickets results in an increase in total revenue at the theater, this is evidence that the demand for movie tickets is: ) price elasticb) price inelasticc) unitary elasticd) perfectly inelastice) perfectly elastic

If an increase in the price of movie tickets results in an increase in total revenue at the theater, this is evidence that the demand for movie tickets is  price inelastic.

Option B

Explanation:

Price elasticity of production is often used in economics to explain the reactivity, or elasticity, to increase prices of the quantity requested by a good or service, when only prices change.

In the case of a change in the price of $200 to $202, for example, a 1% rise, and demand change between 1,000 to 995 units, a reduction of less than 1%, the drugs are inelastic.

The drug would be regarded as completely inelastic if the price increase had no impact on the amount ordered. Medical needs and procedures are relatively inelastic since they are necessary for survival, while luxury goods, like cruises and sports cars, are usually fairly elastic.

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