When Demand Is Elastic, a Fall in Price Causes Total

question 253

Multiple Choice

When demand is elastic, a fall in price causes total revenue to rise because

• A)when price falls, quantity sold increases so total revenue automatically rises.
• B)the increase in quantity sold is large enough to offset the lower price.
• C)the percentage increase in quantity demanded is less than the percentage fall in price.
• D)the demand curve shifts.

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Definitions:

Artistic Development

The process of growing and evolving in artistic skill, expression, and understanding, often influenced by age, experience, and education.

Design Stage

The phase in a project or process where the plans, specifications, and features of a product or structure are determined and laid out.

Basic Geometric Shapes

Simple forms such as circles, squares, triangles, and rectangles that are a foundational element of geometry.

Artistic Development

The process and stages of growth in creating, understanding, and appreciating art.