Figure: Elasticity and Quantity Demanded Refer to the figure. An increase in price from $40 to $50 would cause the change in quantity demanded for D₁ to be: A) greater than the change in quantity demanded for D₂ so D₁ is more elastic than D₂. B) greater than the change in quantity demanded for D₂ so D₂ is more elastic than D₁. C) less than the change in quantity demanded for D₂ so D₁ is more inelastic than D₂. D) less than the change in quantity demanded for D₂ so D₂ is more inelastic than D₁.

Question

Quizplus · Accepted Answer

The Answer of Figure: Elasticity and Quantity Demanded Refer to the figure. An increase in price from $40 to $50 would cause the change in quantity demanded for D₁ to be: A) greater than the change in quantity demanded for D₂ so D₁ is more elastic than D₂. B) greater than the change in quantity demanded for D₂ so D₂ is more elastic than D₁. C) less than the change in quantity demanded for D₂ so D₁ is more inelastic than D₂. D) less than the change in quantity demanded for D₂ so D₂ is more inelastic than D₁.

Figure: Elasticity and Quantity Demanded Refer to the Figure