A linear demand curve has:
A)a uniform elasticity of demand.
B)a elasticity of demand equal to the inverse of the slope at all prices.
C)a positive elasticity of demand.
D)elastic, inelastic, and unit-elastic segments.

Question

Quizplus · Accepted Answer

A linear demand curve does not have a uniform elasticity across its entire length. Instead, it exhibits different elasticities at different points: it is elastic at high prices and low quantities, inelastic at low prices and high quantities, and unit-elastic at one specific point.

A Linear Demand Curve Has