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Answer to Question #105567 in Microeconomics for Rinae
Question #105567
How can the impact of an increase in the price of petrol on the demand curve for petrol be illustrated ?
A, the demand curve for petrol will shift to the left
B, the demand curve for petrol will shift to the right
C, the demand curve for petrol will remain unchanged
D,the demand curve will become more elastic
E,the demand curve will become more inelastic
A, the demand curve for petrol will shift to the left
B, the demand curve for petrol will shift to the right
C, the demand curve for petrol will remain unchanged
D,the demand curve will become more elastic
E,the demand curve will become more inelastic
Expert's answer
The correct answer is E,the demand curve will become more inelastic.
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