Unformatted text preview: TR = total price * quantity If price & total revenue change in the opposite directions, this means that demand is elastic. If price & TR change in same direction, demand is inelastic If elasticity > 1 = elastic < 1 = inelastic =1 = unit elastic Know graphs of perfectly elastic, perfectly inelastic, etc (in the book)...
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This note was uploaded on 09/29/2009 for the course ECON 101 taught by Professor Balaban during the Spring '07 term at UNC.
- Spring '07