In a graph showing a straight-line market demand curve, the marginal revenue curve is:
A) a straight line that begins at the same point as the demand curve on the y-axis but with twice the slope.
B) a straight line that begins at the origin but with twice the slope of the demand curve.
C) the same straight line as the demand curve.
D) There is not enough information to complete the statement.

Question

Quizplus · Accepted Answer

The marginal revenue curve for a linear demand curve is also a straight line that starts at the same point on the y-axis but has twice the slope of the demand curve.

In a Graph Showing a Straight-Line Market Demand Curve, the Marginal