A straight-line (constant-sloped)demand curve does not imply constant elasticity.

Question

Quizplus · Accepted Answer

A straight-line demand curve implies that the slope is constant, but elasticity, which measures the percentage change in quantity demanded relative to a percentage change in price, varies along the curve. Elasticity depends on both the slope of the demand curve and the ratio of price to quantity, which changes as one moves along a straight-line demand curve.

A Straight-Line (Constant-Sloped)demand Curve Does Not Imply Constant Elasticity