Graph 5-1
-In Graph 5-1, the section of the demand curve labelled A represents the:
A)inelastic section of the demand curve
B)unit elastic section of the demand curve
C)elastic section of the demand curve
D)perfectly elastic section of the demand curve

Question

Graph 5-1  
-In Graph 5-1, the section of the demand curve labelled A represents the:
A)inelastic section of the demand curve 
B)unit elastic section of the demand curve 
C)elastic section of the demand curve 
D)perfectly elastic section of the demand curve

Quizplus · Accepted Answer

The elastic section of a demand curve is where a given percentage change in price leads to a larger percentage change in quantity demanded. This typically occurs at the higher price/lower quantity demanded end of the curve.