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by scott00 3144 days ago
If that were true, it would mean that a roofer would need to raise prices a great deal in order to reduce demand a small amount. In such circumstances, it would probably be very profitable for a roofer to increase prices. The opposite (roofing has very elastic demand) is probably more likely. Under elastic demand, a small increase in prices would lead to a large decrease in demand. Under those circumstances, a roofer may prefer the certainty of 100% utilization at a slightly below market rate to having to struggle for contracts at the market rate.