A straight-line demand curve, unless vertical or horizontal, does not have constant elasticity at every point.

Question

Quizplus · Accepted Answer

The elasticity of a straight-line demand curve changes as we move along the curve, except for cases where the demand curve is perfectly horizontal or vertical. This is because the slope of the demand curve, which affects elasticity, changes constantly along a straight line. Therefore, a straight-line demand curve does not have constant elasticity at every point.

A Straight-Line Demand Curve, Unless Vertical or Horizontal, Does Not