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    Question

    If demand is price inelastic,

    then
    A buyers do not respond much to a change in price Correct Answer Incorrect Answer
    B buyers respond substantially to a change in price, but the response is very slow Correct Answer Incorrect Answer
    C buyers do not respond much to advertising, fads, or general changes in tastes Correct Answer Incorrect Answer
    D the demand curve is very flat Correct Answer Incorrect Answer
    E none of these Correct Answer Incorrect Answer

    Solution

    Buyers do not respond much to changes in price id demand is inelastic and demand curve is very close to vertical.

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