This occurs when price changes but demand does not change. Consumer buy same quantity despite the change in Price and PED is 0
No, the demand for insulin is not perfectly inelastic.
Perfectly inelastic demand, perfectly elastic demand, elastic demand, inelastic demand etc.
it is perfectly inelastic
Perfectly elastic demand. Relative elastic demand. Unit elasticity of demand. Relative inelastic demand. Perfectly inelastic demand.
In a market with perfectly inelastic supply, the price of a good will not change when there is a decrease in demand for that good.
as quantity is totally unresponsive of price, consumer has no alternative in perfectly inelastic demand, he will pay any price for it. examples are air, water, electricity etc.
yes the demand curve is perfectly inelastic and horizontal
A perfectly elastic demand curve means that the quantity demanded changes infinitely with a change in price, while a perfectly inelastic demand curve means that the quantity demanded remains constant regardless of price changes.
When supply and demand are perfectly elastic/inelastic
The concept of perfectly inelastic demand means that the quantity demanded does not change with price. In the context of trade, if a good has perfectly inelastic demand, consumers will not benefit as much from trade because they will still buy the same amount regardless of price changes. This limits the potential gains from trade for consumers.
An example of perfectly inelastic demand would be a life-saving drug that people will pay any price to obtain. Elastic demand is the opposite of this.
perfectly inelastic