A straight-line demand curve with a constant price elasticity of demand:
A)forms a 45-degree angle with the horizontal axis.
B)does not exist.
C)is vertical.
D)forms a 60-degree angle with the vertical axis.

Question

Quizplus · Accepted Answer

A straight-line demand curve with a constant price elasticity of demand is vertical, meaning that quantity demanded does not change regardless of the price.

A Straight-Line Demand Curve with a Constant Price Elasticity of Demand