When the price of a good with elastic demand is raised, the quantity sold typically decreases. For goods with elastic demand, a percentage increase in price results in a larger percentage decrease in quantity sold.
While the specific percentage decrease in quantity sold would depend on the exact elasticity of demand, a commonly used rule of thumb is that if demand is elastic (elasticity greater than 1), the percentage change in quantity demanded will be greater than the percentage change in price.
Therefore, if the price is raised by 10 percent and the demand is elastic, we can expect that the quantity sold would decrease by more than 10 percent.
Among the options provided, the most likely result is:
The quantity sold will decrease by 15 percent.