Question

If the demand function is a = m - 3(In 2p) over some range of values of p, then at all such values of p, the price elasticity of demand increases as p increases. decreases as p increases is constant as p changes increases with p at small values and decreases with p at large values decreases with p at large values and increases with p at small values

Answer 1

ANSWER: The answer is the first option which is ---- increases as p increases

The formeela for price elasticity of demand 6 Ž ginen, q=m-3 (128) az 02-(3) . Med (m-3 map) Now, for p>os (3m2p) > and when prires (3map) also rines so, (m-3h2p) falls Hence the elart city rise. for pcos, en cas (3map) <o when prise (3map, which is negaline) fall so, (m- 3 map) also falls, so e rires so Price elasticity of demond inerentes as [cs Scape creares.