Suppose average attendance to Six Flags is 500,000 when prices are $40 a ticket and 450,000 when prices are $50 a ticket. Other things being equal, the data imply that the elasticity of demand for Six Flags is:
A) elastic, so the increase in price caused total revenue to rise.
B) elastic, so the increase in price caused total revenue to fall.
C) inelastic, so the increase in price caused total revenue to rise.
D) inelastic, so the increase in price caused total revenue to fall.

Question

Quizplus · Accepted Answer

The Answer of Suppose average attendance to Six Flags is 500,000 when prices are $40 a ticket and 450,000 when prices are $50 a ticket. Other things being equal, the data imply that the elasticity of demand for Six Flags is:
A) elastic, so the increase in price caused total revenue to rise.
B) elastic, so the increase in price caused total revenue to fall.
C) inelastic, so the increase in price caused total revenue to rise.
D) inelastic, so the increase in price caused total revenue to fall.

Suppose Average Attendance to Six Flags Is 500,000 When Prices