If demand is unit elastic and price is _________,total revenue will ________.
A)raised;increase
B)raised;decrease
C)lowered;increase
D)lowered;remain unchanged

Question

Quizplus · Accepted Answer

If demand is unit elastic, a change in price will lead to an equal change in quantity demanded, resulting in no change in total revenue. Therefore, if price is lowered or raised, total revenue will remain unchanged.

If Demand Is Unit Elastic and Price Is _________,Total Revenue