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Assume that the price elasticity of demand for good X is constant...

Options:
A. the demand curve is elastic
B. the demand curve is inelastic
C. the demand curve is perfectly elastic
D. the demand curve is unit elastic

User Agenis
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1 Answer

3 votes

Final answer:

When the price elasticity of demand for a good is constant, the demand curve is elastic.

Step-by-step explanation:

The answer to the question is option A. When the price elasticity of demand for a good is constant, it indicates that the demand curve is elastic. Elastic demand means that the quantity demanded is highly responsive to changes in price. This means that a small change in price will result in a relatively larger change in quantity demanded.

User Quentin Morrier
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