Regarding Demand Elasticity, Which of the Following Statements Is Correct

question 163

Multiple Choice

Regarding demand elasticity, which of the following statements is correct?

• A)If demand for seller's product is elastic, a price increase will decrease total revenue.
• B)If demand for seller's product is elastic, a price increase will increase total revenue.
• C)If demand is exactly unit elastic, an increase in price will raise total revenue
• D)If demand is exactly unit elastic, an increase in price will raise total revenue.

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Definitions:

Civil Rights Movement

A pivotal series of events and efforts, primarily during the 1950s and 1960s in the United States, aimed at ending racial segregation and discrimination against African Americans and securing legal recognition and federal protection of the citizenship rights enumerated in the Constitution and federal law.

Reconstruction

The period following the American Civil War (1865-1877) during which the United States attempted to address the inequities of slavery and integrate formerly enslaved people into society and politics.

1950s

A decade marked by post-World War II recovery, the beginning of the Cold War, and significant social and economic changes in many parts of the world.

Cold War

A period of geopolitical tension between the Soviet Union and the United States and their respective allies, roughly from 1947 to 1991, characterized by threats, propaganda, and other measures short of open warfare.