Total revenue increases as output increases along sections of the demand curve that are:
A)downward sloping.
B)price elastic.
C)price inelastic.
D)upward sloping.

Question

Quizplus · Accepted Answer

Total revenue increases as output increases along sections of the demand curve that are price elastic because consumers are responsive enough to price changes that the percentage change in quantity demanded is greater than the percentage change in price, leading to an increase in total revenue.

Total Revenue Increases as Output Increases Along Sections of the Demand