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Why is the result of the price elasticity of demand usually negative?A) Because prices always riseB) Because price and quantity demanded move in opposite directionsC) Because total revenue is always negativeD) Because demand curves are positive

Price falls from $9 to $8, and the quantity demanded rises from 360 units to 410 units. What is the *approximate price elasticity of demand between these two prices?

As the price elasticity of demand value gets closer to 0, what does this indicate about demand?A) Demand is becoming more elasticB) Demand is becoming more inelasticC) Demand is perfectly elasticD) Demand is unit elastic

A patient needs a specific life-saving medication, and the price increases by 50%. Despite the price hike, they continue purchasing the same amount. What does this say about the price elasticity of demand for this medication?A) ElasticB) Unit elasticC) Highly elasticD) Highly inelastic

A steep demand curve for tacos implies a high degree of elasticity. 

inelastic in demand = steep demand curve

What does price elasticity of demand measure?A) The change in supply when prices riseB) The responsiveness of quantity demanded to a change in priceC) The cost of producing one more unitD) The difference between revenue and profit

If the result of a price elasticity calculation is 2.5, how would this demand be classified?A) InelasticB) Highly elasticC) Unit elasticD) Perfectly elastic

Why is price elasticity of demand usually a negative number?A) Because price and quantity demanded move in opposite directionsB) Because prices are always fallingC) Because quantity demanded is fixedD) Because total revenue always increases