Course Resources - Marginal Analysis & Elasticity Course Packet on elasticity of demand Given the demand equation x = 15 + 40 , where p represents the price in dollars and x the number of units, determine the elasticity of demand when the price p is equal to $2. Elasticity of Demand = Therefore, demand is inelastic O unitary elastic when price is equal to $2 and a small increase in price will result in little to no change in total revenue. a decrease in total revenue. O an increase in total revenue