If the demand curve for oranges is a downward- sloping straight line, the price elasticity of demand will increase the
A) higher the price of oranges.
B) higher the income level of consumers.
C) higher the price of other fruits.
D) lower the price of oranges.

Question

Quizplus · Accepted Answer

As the price of oranges increases, the percentage change in quantity demanded relative to the percentage change in price becomes larger, leading to a higher price elasticity of demand.

If the Demand Curve for Oranges Is a Downward- Sloping