If increasing airfare increases revenue and decreasing revenue decreases then the demand for air travel has a price elasticity of:
CA Foundation · Business Economics · MTP · September 2026
If increasing airfare increases revenue and decreasing revenue decreases then the demand for air travel has a price elasticity of:
Suggested Answer and Working Notes:
Correct Answer: Option (D)
D. Greater than one
Topics: Theory of Demand and Supply
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