Figure 2.1
-Refer to Figure 2.1. At point B, demand is:
A) small.
B) inelastic, but not completely inelastic.
C) unit elastic.
D) elastic, but not infinitely elastic.
E) infinitely elastic.

Question

Figure 2.1
-Refer to Figure 2.1. At point B, demand is:
A) small. 
B) inelastic, but not completely inelastic. 
C) unit elastic. 
D) elastic, but not infinitely elastic. 
E) infinitely elastic.

Quizplus · Accepted Answer

At point B, demand is elastic, meaning that the percentage change in quantity demanded is greater than the percentage change in price, but it is not infinitely elastic, which would imply an infinite response to price changes.

Figure 2.1 -Refer to Figure 2.1. at Point B, Demand Is