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Which Statement Is NOT True Regarding a Price-Elastic Demand Curve

Question 54

Multiple Choice

Which statement is NOT true regarding a price-elastic demand curve?


A) Total revenue increases when the price falls.
B) The absolute value of the price elasticity is a fraction greater than 0 but less than 1.
C) The absolute value of the price elasticity is greater than 1.
D) The percent changes in the quantity demanded exceed the percent changes in the price for any small change in price.

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