-The figure above illustrates a linear demand curve. If the price rises from $6 to $8 demand is ________ and if the price falls from $8 to $6 demand is ________.
A) elastic; elastic
B) elastic; inelastic
C) inelastic; elastic
D) inelastic; inelastic

Question

-The figure above illustrates a linear demand curve. If the price rises from $6 to $8 demand is ________ and if the price falls from $8 to $6 demand is ________.
A) elastic; elastic 
B) elastic; inelastic 
C) inelastic; elastic 
D) inelastic; inelastic

Quizplus · Accepted Answer

The demand curve is downward sloping, which means that as the price increases, demand decreases. Therefore, if the price rises from $6 to $8, demand will decrease, which is elastic. If the price falls from $8 to $6, demand will increase, which is also elastic.

-The Figure Above Illustrates a Linear Demand Curve