Suppose the demand curve has a slope equal to negative 1.The price elasticity of demand at any point on this demand curve is:
A) infinite.
B) equal to zero.
C) greater than 1, but less than infinite.
D) not described by any of the above.

Question

Quizplus · Accepted Answer

The price elasticity of demand depends on both the slope of the demand curve and the price-quantity combination. A slope of -1 does not directly translate to a specific elasticity value without additional information about the price and quantity.

Suppose the Demand Curve Has a Slope Equal to Negative