Multiple Choice
If an increase in price causes total expenditure on a product to decrease, then the price elasticity of demand is:
A) inelastic.
B) elastic.
C) unit elastic.
D) zero.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q99: A tax is imposed on orange juice.
Q100: A "war on drugs" is waged, and,
Q101: A perfectly inelastic supply curve is vertical.
Q102: If one is interested in knowing whether
Q103: Suppose a 5 percent increase in price
Q105: If the supply curve for a product
Q106: If the elasticity of supply of a
Q107: When a tax is placed on a
Q108: If demand is unit elastic:<br>A)Total revenue and
Q109: The longer the time period considered, the