The kinked demand curve theory explains that even when the demand conditions _______ the price _______

CA Foundation · Business Economics · MTP · September 2024
The kinked demand curve theory explains that even when the demand conditions _______ the price _______
(A) A. Change, changes
(B) B. Change, remains stable
(C) C. Remain stable, changes
(D) D. Remain stable, falls

Suggested Answer and Working Notes:

Correct Answer: Option (B)

B. Change, remains stable

Topics: Price Determination in Different Markets

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