Demand Schedule for Ski Tickets
TABLE 4-2
-Refer to Table 4-2.Using the data provided to plot the demand curve for ski tickets results in a ________ demand curve.Price elasticity along this demand curve is therefore ________ as price is falling.
A)horizontal; constant at a value of 8
B)vertical; constant at a value of 0
C)rectangular hyperbola; constant at a value of 1
D)downward sloping and linear; continuously increasing
E)downward sloping and linear; continuously decreasing

Question

Demand Schedule for Ski Tickets
  TABLE 4-2
-Refer to Table 4-2.Using the data provided to plot the demand curve for ski tickets results in a ________ demand curve.Price elasticity along this demand curve is therefore ________ as price is falling.
A)horizontal; constant at a value of 8 
B)vertical; constant at a value of 0 
C)rectangular hyperbola; constant at a value of 1 
D)downward sloping and linear; continuously increasing 
E)downward sloping and linear; continuously decreasing

Quizplus · Accepted Answer

A downward sloping and linear demand curve indicates that as price falls, the quantity demanded increases, and the price elasticity of demand decreases continuously along the curve.