When demand is unit elastic,an increase in price will cause total revenue to increase,stay the same,or decrease,depending on the corresponding change in quantity demanded.

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When demand is unit elastic, a change in price will result in an equal change in quantity demanded, and therefore total revenue will remain the same. If price increases and quantity demanded decreases by the same proportion, total revenue will be unaffected. If price increases and quantity demanded decreases by a lesser proportion, total revenue will decrease. If price increases and quantity demanded decreases by a greater proportion, total revenue will increase. Therefore, total revenue will not always increase when demand is unit elastic.

When Demand Is Unit Elastic,an Increase in Price Will Cause