If the slope of a demand curve is constant, then so is the elasticity on that demand curve.

Question

Quizplus · Accepted Answer

While it is true that a constant slope on a demand curve indicates a linear relationship between price and quantity demanded, the elasticity of demand varies along the curve. At higher prices, demand tends to be more elastic (responsive to price changes), while at lower prices, demand tends to be more inelastic (less responsive to price changes). Therefore, the elasticity of demand is not constant along a demand curve with a constant slope.

If the Slope of a Demand Curve Is Constant, Then