- Refer to the graph above and assume that the areas of the boxes are the same. Consider a situation where price decreases from P₂ to P₁. In this price range, demand is relatively: A) inelastic because the loss in total revenue (areas D + G + I + J) is greater than the gain in total revenue (areas C + F + H). B) elastic because the loss in total revenue (areas C + F + H) is greater than the gain in total revenue (area J). C) elastic because the loss in total revenue (area J) is less than the gain in total revenue (areas C + F + H). D) inelastic because the gain in total revenue (area J) is less than the loss in total revenue (areas C + F +

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The Answer of - Refer to the graph above and assume that the areas of the boxes are the same. Consider a situation where price decreases from P₂ to P₁. In this price range, demand is relatively: A) inelastic because the loss in total revenue (areas D + G + I + J) is greater than the gain in total revenue (areas C + F + H). B) elastic because the loss in total revenue (areas C + F + H) is greater than the gain in total revenue (area J). C) elastic because the loss in total revenue (area J) is less than the gain in total revenue (areas C + F + H). D) inelastic because the gain in total revenue (area J) is less than the loss in total revenue (areas C + F +

- Refer to the Graph Above and Assume That the Areas