- Over the price range from $180 to $120 in Figure 20.1,ceteris paribus,
A)Demand is elastic.
B)Total revenue is maximized.
C)Demand is increasing.

Question

- Over the price range from $180 to $120 in Figure 20.1,ceteris paribus,
A)Demand is elastic. 
B)Total revenue is maximized. 
C)Demand is increasing.

Quizplus · Accepted Answer

Over the price range from $180 to $120, if demand is elastic, a decrease in price leads to an increase in total revenue, indicating that the percentage change in quantity demanded is greater than the percentage change in price.

- Over the Price Range from $180 to $120 in Figure