Question

3. The price of a particular good falls by a small amount, and as a result the total amount of money spent purchasing this good decreases. We can conclude that: (A) In the neighbourhood of the original price, the supply curve of this good is elastic (B) In the neighbourhood of the original price, the supply curve of this good is inelastic (C) In the neighbourhood of the original price, the supply curve of this good is perfectly elastic (D) In the neighbourhood of the original price, the supply curve of this good is perfectly inelastic E) In the neighbourhood of the original price, the demand curve of this good is clastic (4) In the neighbourhood of the original price, the demand curve of this good is inclastic (G) In the neighbourhood of the original price, the demand curve of this good is perfectly elastic (H) In the neighbourhood of the original price, the demand curve of this good is perfectly inelastic (1) In the neighbourhood of the original price, the demand curve of this good is unit elastic (J) None of the above