When the demand for a product is said to be perfectly inelastic, it implies that: A. The demand curve for the product is relatively flat. B. As price increases, the quantity demanded increases. C. The sales of the product are very sensitive to changes in price. D. The profit per-unit increases with an increase in price. E. With a change in price, change in quantity demanded is zero.

When the demand for a product is said to be perfectly inelastic, it implies that: A. The demand curve for the product is relatively flat. B. As price increases, the quantity demanded increases. C. The sales of the product are very sensitive to changes in price. D. The profit per-unit increases with an increase in price. E. With a change in price, change in quantity demanded is zero.

Managerial Economics: A Problem Solving Approach

5th Edition

ISBN:9781337106665

Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Chapter8: Understanding Markets And Industry Changes

Section: Chapter Questions

Problem 3MC

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