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At the point where a straight line demand curve meets the quantity axis (x-axis), elasticity of demand is:

A. Equal to zero

B. Equal to one

C. Equal to infinite

D. More than one

Correct Answer : A.


At the point on demand curve where it meets the x-axis, the lower segment of demand curve is zero and upper segment is some geometrical value so elasticity of demand Ed = Lower segment /Upper segment, the answer will be zero}

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