In the accompanying graph, the price elastic portion of demand is found in the region and the price inelastic portion of demand is found in the region of the graph.
A) middle; lower
B) lower; upper
C) upper; lower
D) middle; middle
E) None of these choices are correct.

Question

Quizplus · Accepted Answer

The price elastic portion of demand is typically found in the upper region of the demand curve, where a small change in price leads to a larger change in quantity demanded. The price inelastic portion is found in the lower region, where changes in price have a smaller effect on quantity demanded.

In the Accompanying Graph, the Price Elastic Portion of Demand