Question

question 2
1 pts
if the price elasticity of demand equals 1, the demand curve is...
unitary (unit) elasticity
none of these answers are correct
elastic
inelastic

Explanation:

The price elasticity of demand measures the responsiveness of quantity demanded to a change in price. When the price elasticity of demand is equal to 1, it is defined as unitary (or unit) elasticity. Elastic demand has a price elasticity of demand greater than 1, and inelastic demand has a price elasticity of demand less than 1. So the correct option is the one labeled "Unitary (unit) elasticity".

Answer:

A. Unitary (unit) elasticity