Exhibit 5-26
-Refer to Exhibit 5-26. Between points A and B, price elasticity of demand is:
A) unitary
B) elastic
C) inelastic
D) perfectly elastic
E) perfectly inelastic

Question

Exhibit 5-26 
-Refer to Exhibit 5-26. Between points A and B, price elasticity of demand is:
A) unitary 
B) elastic 
C) inelastic 
D) perfectly elastic 
E) perfectly inelastic

Quizplus · Accepted Answer

Between points A and B, if the price elasticity of demand is greater than 1, it is considered elastic, meaning the percentage change in quantity demanded is greater than the percentage change in price.

Exhibit 5-26 -Refer to Exhibit 5-26. Between Points a and B, Price