Perfectly inelastic demand is represented by a demand curve which is ________, and relatively inelastic demand is represented by a demand curve which is ________.
A)downward sloping; vertical
B)horizontal; downward sloping
C)vertical; downward sloping
D)upward sloping; horizontal

Question

Quizplus · Accepted Answer

Perfectly inelastic demand means that the quantity demanded remains constant regardless of changes in price. This is represented by a vertical demand curve. Relatively inelastic demand means that the percentage change in price results in a smaller percentage change in quantity demanded, which is represented by a relatively steep (or downward sloping) demand curve.

Perfectly Inelastic Demand Is Represented by a Demand Curve Which