Question: Below the demand curve plotted in exercise 1, plot the total-revenue curve, measuring total revenue on the vertical axis and quantity on the horizontal axis.

Below the demand curve plotted in exercise 1, plot the total-revenue curve, measuring total revenue on the vertical axis and quantity on the horizontal axis.

What would a 10 percent increase in the price of movie tickets mean for the revenue of a movie theater if the price elasticity of demand was, in turn, 0.1, 0.5, 1.0, and 5.0?

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