Compared to the 1980s, the price of computer chips is much lower today but revenues from computer chips are ________ because demand is elastic.
A) higher
B) lower
C) approximately unchanged
D) about $14 trillion higher

Question

Quizplus · Accepted Answer

When demand is elastic, a decrease in price leads to a proportionally larger increase in quantity demanded, resulting in higher total revenues.

Compared to the 1980s, the Price of Computer Chips Is