A perfectly elastic demand curve has a price elasticity of demand coefficient of:
A. zero.
B. infinity.
C. greater than 1, but less than infinity.
D. less than 1, but greater than zero.
Answer: B
Economics
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Describe the marginal revenue curve in relationship to the demand curve for a monopoly. Why is it like that?
What will be an ideal response?
Economics
Other things remaining the same, if a large part of the population decided against having soda for health reasons, there would be a(n):
a. increase in the quantity of soda supplied. b. increase in the quantity supplied of complements like fries and burgers. c. decrease in the price of soda. d. rightward shift of the demand curve for soda. e. decrease in the quantity demanded of substitutes like mineral water.
Economics