As we move downward and to the right along a linear,downward-sloping demand curve,
A)both slope and elasticity remain constant.
B)slope changes but elasticity remains constant.
C)both slope and elasticity change.
D)slope remains constant but elasticity changes.

Question

Quizplus · Accepted Answer

Along a linear, downward-sloping demand curve, the slope remains constant but the elasticity changes. The slope measures the steepness of the curve, while elasticity measures the responsiveness of quantity demanded to changes in price. As we move downward and to the right, the slope (or steepness) of the curve remains constant, but the elasticity changes because the percentage change in quantity demanded is larger than the percentage change in price. This means that the demand becomes more price sensitive as we move down the curve.

As We Move Downward and to the Right Along a Linear,downward-Sloping