If the market price of a product falls and as a result total revenue of firms falls, we can conclude that
A) demand is elastic in this price range.
B) the product's price is above the midpoint of its demand curve.
C) demand is inelastic in this price range.
D) the demand curve is horizontal.
Answer: C
Economics
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A nation that currently has a surplus in its capital account is called a
A) debtor nation. B) net lender. C) net borrower. D) current account surplus nation. E) creditor nation.
Economics
Other things being equal, what is the effect of deficit spending on interest rates?
A) Interest rates decline. B) Interest rates rise. C) Interest rates hold constant because the demand for credit decreases. D) There is no impact unless the Federal Reserve decides to alter the money supply.
Economics