ECON 102 Quiz: ECON102 Quiz 4a 2017
1
ECON 102 Full Course Notes
Verified Note
1 document
Document Summary
Score for this attempt: 10 out of 10. When the percent change in price is equal to the percent change in quantity demanded, we say that the demand is elastic inelastic. When the percent change in price is equal to the percent change in quantity demanded, the demand curve can be described as unit elastic. A good that is a luxury is likely to have a relatively _______ demand. inelastic. If a good is a luxury, people will reduce consumption by a lot when the price rises. Demand is said to be inelastic if the absolute value of the price elasticity of demand is greater than 1. Correct! less than 1 equal to 1 equal to 0. Values for price elasticity of demand that are less than one in absolute value are described as inelastic. The demand curve is divided into three segments, the segments are labeled a, b and c. area a can be described as.
