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Nataliya [291]
3 years ago
10

Candy and tacos have relatively horizontal demand curves which are said to be

History
2 answers:
Phoenix [80]3 years ago
5 0

Answer:

PERFECTLY ELASTIC

Explanation:

If the demand curve looks like a horizontal flat line, it is said that demand is perfectly elastic.

When demand in market is affected by a small change in price, that demand becomes a perfectly elastic demand.

In perfectly elastic demand, a little increase in the price causes a fall in demand. Leading demand to zero. While a little decrease in price causes an increase in demand to infinity.

In such a case, we conclude that demand is perfectly elastic.

pickupchik [31]3 years ago
4 0

Answer:

If Candies and Tacos have a relatively flat demand curve, it means that their prices are very stable and will rarely if every change.

A horizontal demand curve is a flat curve with a slope of zero. It is a perfectly elastic demand curve. Because the slope of the curve is zero, it is impossible for the price to change in the market.

Cheers!

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