Along a Perfectly Elastic Demand Curve

question 10

Multiple Choice

Along a perfectly elastic demand curve,

• A)the slope is always zero.
• B)the price elasticity of demand is 1.
• C)consumer purchases will not respond at all to a change in price.
• D)All of the above are true.

Analyze the effect of external factors such as poor growing seasons on market conditions.

Recognize the role of substitutes and complements in affecting demand.

Understand the factors that cause changes in supply and demand.

Identify the effects of technological improvements on supply.

---

Definitions:

Senators

Members of the senate, which is one of the two chambers in the bicameral legislature of many countries, including the United States.

Elected

The process by which individuals are chosen through voting to hold public office or perform public duties.

Conference Committee

A committee formed when the House and Senate need to reconcile different versions of a bill into a single version to be passed by both chambers of Congress.

House

In a governmental context, this term often refers to a legislative body or chamber, such as the House of Representatives in the United States.