If the price elasticity of demand for a certain commodity is less than unity, then?

Economics JAMB 1993

If the price elasticity of demand for a certain commodity is less than unity, then?

  • an increase in the price of the commodity will raise the total revenue of the producer checkmark
  • an increase in price leaves the total revenue unchanged
  • a decrease in price raises the total revenue of the supplier
  • a decrease in price leaves the total revenue constant

The correct answer is: A

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