Refer to the diagram, which is a rectangular hyperbola, that is, a curve such that each rectangle drawn from any point on the curve will be of identical area. In comparing the price elasticity and the slope of this demand curve, we can conclude that the
A)slope of a demand curve measures its elasticity.
B)elasticity of a demand curve measures its slope.
C)slope and elasticity of the curve are both constant throughout.
D)slope of the curve varies, but its elasticity is constant.

Question

Refer to the diagram, which is a rectangular hyperbola, that is, a curve such that each rectangle drawn from any point on the curve will be of identical area. In comparing the price elasticity and the slope of this demand curve, we can conclude that the
A)slope of a demand curve measures its elasticity. 
B)elasticity of a demand curve measures its slope. 
C)slope and elasticity of the curve are both constant throughout. 
D)slope of the curve varies, but its elasticity is constant.

Quizplus · Accepted Answer

The Answer of  Refer to the diagram, which is a rectangular hyperbola, that is, a curve such that each rectangle drawn from any point on the curve will be of identical area. In comparing the price elasticity and the slope of this demand curve, we can conclude that the
A)slope of a demand curve measures its elasticity. 
B)elasticity of a demand curve measures its slope. 
C)slope and elasticity of the curve are both constant throughout. 
D)slope of the curve varies, but its elasticity is constant.

Refer to the Diagram, Which Is a Rectangular Hyperbola, That