Question

For which one of the following goods would we need to sum individual demand curves vertically to obtain the total demand curve?

Select one:

a. a serving of frozen yogurt

b. a pack of bubble gum

c. a movie in a theater

d. a fireworks show in a park

Answer 1

Vertical demand curve meaning the change in quantity demanded is zero

It means the demand will always be constant irrespective of the price change

Whether the price increases or decreases the quantity demanded will remains the same and market demand is obtained when there is sum of all the individual demand curves

So from the given options for frozen yogurt the demand will be elastic in nature because in this consumers are price sensitive

If price of yogurt increases the demand will decrease and people will replace it with some substitute

The same with happen in case of bubble gum

In movie theatre it will come under less inelastic demand but if there is any type of fireworks show in the park then the demand will be perfectly inelastic in nature

So the answer here is option D