As you move down a demand curve, if a decrease in price from $11 to $9 increased total revenue, then further decreases below $9 would also increase total revenue.

Question

Quizplus · Accepted Answer

The relationship between price changes and total revenue depends on the price elasticity of demand at different points on the demand curve. A decrease in price from $11 to $9 might increase total revenue if demand is elastic in that range, but further decreases below $9 could lead to a decrease in total revenue if demand becomes inelastic.

As You Move Down a Demand Curve, If a Decrease