Economics 9708 · AS & A Level · Price elasticity of demand

Price elasticity of demand — practice question

The price elasticity of demand for a product is unitary across all price ranges. What effect will a rise in its price have?

  • Aan equal proportionate decrease in the amount demanded
  • Ban equal proportionate decrease in expenditure on the product
  • Can increase in the product’s percentage of total consumer expenditure
  • Dno change in the amount of the product demanded

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