If the Demand Curve Is a Horizontal Line

question 36

Multiple Choice

If the demand curve is a horizontal line,

• A)demand is perfectly elastic
• B)demand is perfectly inelastic
• C)demand is unitary elastic
• D)demand is relatively inelastic
• E)total expenditure is maximized

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Definitions:

Sympathetic Fibres

Nerve fibers of the sympathetic nervous system that are involved in the body's fight or flight response, affecting functions such as heart rate and blood pressure.

Afferent Nervous System

Part of the peripheral nervous system that carries sensory information from the sensory organs to the brain.

Efferent Nervous System

Part of the nervous system responsible for carrying signals away from the central nervous system towards muscles to cause movement.

Sympathetic Nervous System

A branch of the autonomic nervous system responsible for the body's 'fight or flight' response, preparing the body for action in stressful situations.