-The table above gives the demand schedule for snow peas. The demand curve for snow peas is a straight line and so the elasticity of demand is
A) 1 at all prices.
B) the same at all prices but not 1.
C) higher at higher prices.
D) lower at higher prices.

Question

-The table above gives the demand schedule for snow peas. The demand curve for snow peas is a straight line and so the elasticity of demand is
A) 1 at all prices. 
B) the same at all prices but not 1. 
C) higher at higher prices. 
D) lower at higher prices.

Quizplus · Accepted Answer

The elasticity of demand for a linear demand curve varies along the curve. It is higher at higher prices because the percentage change in quantity demanded is larger relative to the percentage change in price at higher price levels.

-The Table Above Gives the Demand Schedule for Snow Peas