Asked by Anamarys Sanchez on Jun 01, 2024
Verified
Refer to Figure 2.4.1. Between points E and F, demand is:
A) completely inelastic.
B) inelastic, but not completely inelastic.
C) unit elastic.
D) elastic, but not infinitely elastic.
E) infinitely elastic.
Completely Inelastic
A situation in which the demand or supply for a product does not change in response to changes in price.
Inelastic
Refers to a circumstance in which the demand or supply of a product or service is largely unaffected by price fluctuations.
Elastic
Describes a situation in which the demand or supply for a good or service significantly changes in response to price changes.
- Interpret and analyze demand curves and their characteristics (elastic, inelastic, unit elastic).
Verified Answer
SP
Stephanie PonceJun 01, 2024
Final Answer :
B
Explanation :
Demand is inelastic, but not completely inelastic, as a change in price will result in a proportionally smaller change in quantity demanded.
Learning Objectives
- Interpret and analyze demand curves and their characteristics (elastic, inelastic, unit elastic).