Consider the demand curve of the form Q = a - bP. If a is a positive real number, and b = 0, then demand is (please explain) A) completely inelastic. B) inelastic, but not completely. C) unit elastic. D) elastic, but not infinitely.
Answer
A) completely inelastic.
the equation is
Q=a-bP
b=0
then
Q=a
the "a" is fixed demand at any price
it means the demand curve is vertical and it is perfectly inelastic because the demand does not change with the price
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Hurry
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explain elastic demand , inelastic demand and unit elastic demand with curve and example for each
Derive a linear demand curve for instant coffee (using the
Q =−bP
format where a and b are constants).
The equation for the demand curve for instant coffee is.
I would like to know if the demand for instant coffee is
correct
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