-The demand curve in the figure above illustrates a product whose demand has a price elasticity of demand equal to
A) zero at all prices.
B) infinity.
C) one at all prices.
D) a different amount at different prices.

Question

-The demand curve in the figure above illustrates a product whose demand has a price elasticity of demand equal to
A) zero at all prices. 
B) infinity. 
C) one at all prices. 
D) a different amount at different prices.

Quizplus · Accepted Answer

The demand curve is a vertical line, which means that the quantity demanded does not change with price. This means that the price elasticity of demand is infinity.

-The Demand Curve in the Figure Above Illustrates a Product