What will the elastic demand when demand curve is parallel to y axis?
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Explanation:
When the demand curve is parallel to the vertical axis, it means, that the same amount of goods are demanded at any price level. Which further means that there is no effect of change in price on the quantity demanded. Hence, the product is perfectly Inelastic and quantitatively, elasticity of demand is 0.
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Answer:
When demand curve is parallel to x-axis then elasticity of demand will be perfectly elastic as there is infinite demand at constant price. In this case, a slightest increase in price will reduce the demand for the product
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