If makers of snake anti-venom implement significant price increases, it is unlikely to significantly affect the use of anti-venom for treating poisonous snakebites. The demand for anti-venom is:
A)elastic.
B)inelastic.
C)unit elastic.
D)unit inelastic.

Question

If makers of snake anti-venom implement significant price increases, it is unlikely to significantly affect the use of anti-venom for treating poisonous snakebites. The demand for anti-venom is:
A)​elastic.
B)​inelastic.
C)​unit elastic.
D)​unit inelastic.

Quizplus · Accepted Answer

The demand for snake anti-venom is likely to be inelastic, because it is a life-saving drug and there are no close substitutes available. Inelastic demand means that changes in price will not significantly affect the quantity demanded. Therefore, even if the makers of snake anti-venom implement significant price increases, the use of anti-venom for treating poisonous snakebites is unlikely to be affected.

If Makers of Snake Anti-Venom Implement Significant Price Increases, It