Apr 21 2012

Perfectly elastic Demand

Published by at 8:06 pm under

When any change in the price of a good leads to a nearly infinite change in the quantity consumers demand. For example if the price rises at all, no one will wish to buy the good. If the price decreases at all, every consumer will wish to buy the good. Demand for a perfect competitor’s output is perfectly elastic, due to the countless perfect substitutes available to consumers.

About the author:  Jason Welker teaches International Baccalaureate and Advanced Placement Economics at Zurich International School in Switzerland. In addition to publishing various online resources for economics students and teachers, Jason developed the online version of the Economics course for the IB and is has authored two Economics textbooks: Pearson Baccalaureate’s Economics for the IB Diploma and REA’s AP Macroeconomics Crash Course. Jason is a native of the Pacific Northwest of the United States, and is a passionate adventurer, who considers himself a skier / mountain biker who teaches Economics in his free time. He and his wife keep a ski chalet in the mountains of Northern Idaho, which now that they live in the Swiss Alps gets far too little use. Read more posts by this author

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