If a Good Is Very Inexpensive, but It Is a Necessity

question 287

Essay

If a good is very inexpensive, but it is a necessity, you would predict that demand for the good is:
A.is price-elastic.
B.is price-inelastic.
C.is price unit-elastic.
D.has indeterminable price elasticity.

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Definitions:

Pituitary Gland

A small endocrine gland located at the base of the brain, responsible for releasing hormones that regulate various bodily functions.

Chemical Signals

Molecules released by cells that are used to communicate with other cells, often playing a role in the regulation of physiological processes.

Fear Center

A colloquial term often used to refer to the amygdala, a part of the brain involved in processing emotions, including fear.

Amygdala

A section of the brain that is responsible for detecting fear and preparing for emergency events.