As we move up along a linear demand curve, the price elasticity of demand becomes more
A)Elastic.
B)Inelastic.
C)Log-linear.
D)Variable.

Question

Quizplus · Accepted Answer

As we move up along a linear demand curve, the price elasticity of demand becomes more elastic. This is because higher up the demand curve, there are more substitutes available for the product, and consumers are more sensitive to changes in price. Therefore, a small increase in price may lead to a large decrease in quantity demanded.

As We Move Up Along a Linear Demand Curve, the Price