Asked by Kaela Warriner on Jul 28, 2024

verifed

Verified

When the slope of a demand curve is constant, price elasticity of demand can vary.

Constant Slope

The unchanging steepness or incline of a line on a graph, indicating a steady rate of change between two variables.

Price Elasticity

A measure of how much the quantity demanded of a good responds to a change in the price of that good, demonstrating the sensitivity of consumers to price changes.

Demand Curve

A demand curve is a graph showing the relationship between the price of a good and the quantity of that good that consumers are willing and able to purchase at various prices.

  • Understand the reasons behind the variability of demand elasticity in relation to the slope of the demand curve.
verifed

Verified Answer

AS
Airline StoreJul 30, 2024
Final Answer :
True
Explanation :
Even if the slope of a demand curve is constant, the price elasticity of demand can vary because elasticity depends on the percentage changes in price and quantity demanded, not just the absolute change, and these percentages can vary along the curve.