menu-iconExamlexExamLexServices

Discover

Ask a Question
  1. All Topics
  2. Topic
    Business
  3. Study Set
    Principles of Economics Study Set 12
  4. Exam
    Exam 4: Subtleties of the Supply and Demand Model
  5. Question
    If the Price of a Good Decreases by 5 Percent
Solved

If the Price of a Good Decreases by 5 Percent

Question 17

Question 17

Multiple Choice

If the price of a good decreases by 5 percent and total revenue does not change, then the price elasticity of demand is


A) perfectly elastic.
B) unit elastic.
C) equal to 0.5.
D) equal to 1.05.
E) perfectly inelastic.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q12: Because there are few substitutes for a

Q13: Why isn't the slope of a demand

Q14: If demand is perfectly inelastic, then the<br>A)quantity

Q15: If the supply curve is perfectly elastic,

Q16: Assume that a firm makes available 50

Q19: For demand to be unit elastic,<br>A)the percentage

Q20: For demand to be elastic,<br>A)the percentage change

Q21: If the producers of a product do

Q22: In the case of a price floor,<br>A)there

Q208: Demand is inelastic if the price elasticity

Examlex

ExamLex

About UsContact UsPerks CenterHomeschoolingTest Prep

Work With Us

Campus RepresentativeInfluencers

Links

FaqPricingChrome Extension

Download The App

Get App StoreGet Google Play

Policies

Privacy PolicyTerms of ServiceHonor CodeCommunity Guidelines

Scan To Download

qr-code

Copyright © (2025) ExamLex LLC.

Privacy PolicyTerms Of ServiceHonor CodeCommunity Guidelines