Table 6-1

-Refer to Table 6-1.Over what range of prices is the demand elastic?
A) over the entire range of prices
B) between $14 and $16
C) between $8 and $16
D) between $2 and $8

Question

Table 6-1
 
-Refer to Table 6-1.Over what range of prices is the demand elastic?
A) over the entire range of prices 
B) between $14 and $16 
C) between $8 and $16 
D) between $2 and $8

Quizplus · Accepted Answer

The demand is elastic between $14 and $16 as the price elasticity of demand (PED) is greater than 1 in this range. Outside of this range, the demand is either inelastic (PED < 1) or perfectly elastic (PED = infinity) or perfectly inelastic (PED = 0).

Table 6-1 -Refer to Table 6-1.Over What Range of Prices Is the of Prices