-In the above figure, along the section of the demand curve between point a and point b, demand is
A) elastic.
B) inelastic.
C) unit elastic.
D) unit inelastic.

Question

-In the above figure, along the section of the demand curve between point a and point b, demand is
A) elastic. 
B) inelastic. 
C) unit elastic. 
D) unit inelastic.

Quizplus · Accepted Answer

Demand is considered elastic when the percentage change in quantity demanded is greater than the percentage change in price, which typically occurs along the upper portions of a linear demand curve, such as between points a and b.

-In the Above Figure, Along the Section of the Demand