Suppose that the price elasticity of demand for insulin is -0.2. If this is true, then an increase in the price will reduce the quantity demanded and the revenue of sellers.

Quantity Demanded reduced by : percentage change i.e  0.2 times percentage change in price

Increase revenue of sellers

Explanation:

Price Elasticity of Demand is responsive change in demand quantity due to price change. Formula = %change in demand / % change in price.

If Ped of Insulin is 0.2 , it means insulin demand will change by % = 0.2 times % change in price.  Eg : If price rise from Rs 100 by 50% & becomes 150 ; quantity will fall by 0.2 x 50 i.e 10% & fall from 100 to 90.

Ped = 0.2 i.e < 1 implies Demand is inelastic. Inelastic Demand has positive relationship between price & total revenue - higher total revenue at higher price, vice versa. Eg : Old TR =  old P x old Q = 100 x 100 = 10000 ; New TR = 150 X 90 = 13500. High TR at high P

first industrial revolution - the first wave of the industrial revolution lasted from the late 1700s to the mid-1800s. it industrialized the manufacture of textiles and began the move of production from homes to factories. steam power and the cotton gin played an important role in this period.

wait history, who want to talk about history, boring.