Exhibit 5-27
-Consider Exhibit 5-27. Which graph depicts a perfectly inelastic demand?
A) Graph A
B) Graph B
C) Graph C
D) Graph D
E) both graphs A and B

Question

Exhibit 5-27 
-Consider Exhibit 5-27. Which graph depicts a perfectly inelastic demand?
A) Graph A 
B) Graph B 
C) Graph C 
D) Graph D 
E) both graphs A and B

Quizplus · Accepted Answer

In a perfectly inelastic demand, the quantity demanded does not change regardless of the change in price. Graph C represents this as the demand curve is a vertical line, indicating that the quantity demanded remains constant even if the price changes.

Exhibit 5-27 -Consider Exhibit 5-27. Which Graph Depicts a Perfectly Inelastic Demand