A negatively-sloped demand curve means that ________.
A) the price elasticity of demand is negative
B) demand is elastic
C) demand is inelastic
D) demand is unitary

Question

Quizplus · Accepted Answer

A negatively-sloped demand curve indicates that as price increases, quantity demanded decreases, which is a fundamental characteristic of demand demonstrating the inverse relationship between price and quantity demanded. This relationship inherently means the price elasticity of demand is negative, as elasticity measures the percentage change in quantity demanded resulting from a percentage change in price.

A Negatively-Sloped Demand Curve Means That ________