What happens to quantity demanded when prices fall under inelastic demand?

When demand is classified as inelastic, it means that consumers are relatively insensitive to price changes. In this context, when prices fall, the quantity demanded does increase, but not by a significant amount.

Under inelastic demand, the percentage change in quantity demanded is less than the percentage change in price. Thus, if prices decrease, consumers will buy a little more of the good or service, but the overall increase in quantity demanded will be small relative to the price decrease. This behavior is often observed with essential goods or necessities, where consumers feel the need to purchase regardless of minor price fluctuations.

Therefore, the correct interpretation of the effects of a price decrease on inelastic demand is that consumers buy a little more, reflecting their limited responsiveness to price changes.