Inelastic Goods

Decent Essays
The demand curve for a perfectly inelastic good is vertical because any price will yield the same quantity demanded since consumers are not sensitive to price changes. The line will stay in the same part of the quantity axis regardless of how much higher up the value of the price axis goes. While there aren't perfect examples, perfectly inelastic goods would have to be necessities that people are willing to stick out for because they are integral to the consumer. Medication or medical treatment, is a close example, while it can be expensive, is necessary for one's health, so people will continue to demand for it even as the prices get fairly steep.
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