For which of the following is demand most likely to be perfectly inelastic?
A)BMW automobiles.
B)Pepsi Cola.
C)Hot dogs.
D)Insulin.
E)Tylenol.

Question

For which of the following is demand most likely to be perfectly inelastic?​
A)BMW automobiles.
B)Pepsi Cola.
C)Hot dogs.
D)Insulin.
E)Tylenol.

Quizplus · Accepted Answer

Insulin is a necessary medication for people with diabetes, and there are no close substitutes for it. Therefore, the demand for insulin is most likely to be perfectly inelastic, meaning that changes in price will have little to no effect on the quantity demanded.

For Which of the Following Is Demand Most Likely to Be