At the Midpoint of a Linear, Downward-Sloping Demand Curve, the Price

question 98

Multiple Choice

At the midpoint of a linear, downward-sloping demand curve, the price elasticity of demand is

• A) less than one but greater than zero.
• B) zero.
• C) infinite.
• D) greater than one.
• E) equal to one.

---

Definitions:

Import Demand Curves

Graphical representations that show the quantity of goods a country is willing to import at different price levels.

Upsloping

Describes a line or curve on a graph that moves higher as it goes from left to right, indicating an increase in the variable being measured.

Production Possibilities

A concept in economics that describes the different combinations of goods and services that can be produced given fixed resources and technology.

Specialize

To focus on a particular area of study, work, or production, often improving efficiency and quality in that domain.