Exhibit 5-15 Which of the demand curves in Exhibit 5-15 is unit elastic?
A)the curve in graph a
B)the curve in graph b
C)the curve in graph c
D)the curve in graph d
E)the curve in graph e

Question

Exhibit 5-15  Which of the demand curves in Exhibit 5-15 is unit elastic?
A)the curve in graph a 
B)the curve in graph b 
C)the curve in graph c 
D)the curve in graph d 
E)the curve in graph e

Quizplus · Accepted Answer

A demand curve is unit elastic when the percentage change in quantity demanded is equal to the percentage change in price. In graph c, the demand curve has a constant slope, indicating that the percentage change in quantity demanded is equal to the percentage change in price at every point on the curve. Therefore, graph c represents a unit elastic demand curve.

Exhibit 5-15 Which of the Demand Curves in Exhibit