If a change in the price of a good causes no change in total revenue
a. the demand for the good must be elastic.
b. the demand for the good must be inelastic.
c. the demand for the good must be unit elastic.
d. buyers must not respond very much to a change in price.
Answer: c. the demand for the good must be unit elastic.
Explanation: Total Revenue = P*Q so if total revenue does not change is because the change in the price is exactly equal to the change in the quantity (it the opposite sense). Therefore elasticity is equal to -1
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