Distinguish between Perfectly elastic demand and Perfectly inelastic demand.
Q.2 (B) (ii) Distinguish between Perfectly elastic demand and Perfectly inelastic demand.
1 answer
Best answer
Answer: Distinguish between Perfectly elastic demand and Perfectly inelastic demand
| Points | Perfectly elastic demand | Perfectly inelastic demand |
|---|---|---|
| Meaning | A very small (or no) change in price causes an infinite change in quantity demanded. | Quantity demanded does not change at all whatever the change in price. |
| Coefficient | \(E_d = \infty\) | \(E_d = 0\) |
| Demand curve | Horizontal straight line parallel to the X-axis. | Vertical straight line parallel to the Y-axis. |
| Nature | Theoretical (imaginary) concept. | Theoretical; approximately seen for essential goods like salt and life-saving drugs. |
Doubtly AI
· 28 Oct 2026
AI-verified · Oct 2026
Report
Was this answer helpful?
Thanks for the feedback.
Sign up free to save answers and ask your own doubts
Your answer
Log in or create a free account to answer this question.