The demand curve in the figure above illustrates the demand for a product withA) zero price elasticity of demand at all prices.B) a price elasticity of demand that is different at all prices.C) unit price elasticity of demand at all prices.D) infinite price elasticity of demand.
A straight-line demand curve with negative slope intersects the horizontal axis at 200 tonsperweek. The point on the demand curve at which the price elasticity of demand is 1corresponds to aquantity demanded
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Demand is unit elastic when
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Producers' total revenue will decrease ifA) the price rises and demand is inelastic.B) income increases and the good is a normal good.