WAEC Economics 2023 Objective — Question 9
Question 9 of 50 from the West African Examinations Council (WAEC) Economics 2023 Objective paper, with the correct answer and a full explanation.
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A fall in the price of a normal commodity which has elastic demand will result in
- A. a fall in quantity demanded
- B. an increase in revenueCorrect
- C. a fall in demand
- D. a decrease in revenue
Explanation
For a price-elastic good, a fall in price leads to a proportionally larger increase in quantity demanded, thereby increasing total revenue.
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