When an increase or decrease in the price of the product will not significantly affect demand for the product, what is the demand for the product?

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Inelastic demand refers to a situation where a change in the price of a product does not significantly affect the demand for the product. This means that consumers are not particularly sensitive to changes in price, and may continue to purchase the same amount of the product regardless of price fluctuations. This is often the case for products that are deemed essential or necessary, such as gasoline or prescription medications.

When an Increase or Decrease in the Price of the Product