Topic > Essay on Elastic Demand - 928
For example, some anticancer drugs may have perfectly inelastic demand. In these cases demand remains relatively the same regardless of price. Some specific brand-name drugs have no generic competitors or substitutes. In some cases, cancer patients have no choice but to purchase the drug if they know it can help them beat the disease. On the other hand, consumers may be loyal to a particular brand and become insensitive to price changes, resulting in more inelastic demand. In some extreme cases, government agencies may intervene if they discover that price gouging is occurring. Inelastic demand can be witnessed in the consumer electronics industry
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