ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Common inelastic goods include petrol, salt, water, products/services sold by monopolies, cigarettes, and diamonds.

Detailed explanation-2: -The amount of gas Americans buy has historically been pretty inelastic, meaning it doesn’t change that much when prices go up.

Detailed explanation-3: -Gasoline is a relatively inelastic product, meaning changes in prices have little influence on demand.

Detailed explanation-4: -Examples of goods with inelastic demand include gasoline, necessary foods, and prescription drugs. When price changes on these items, demand doesn’t fluctuate much because these items are required in the everyday lives of most consumers.

Detailed explanation-5: -The most common goods with inelastic demand are utilities, prescription drugs, and tobacco products. In general, necessities and medical treatments tend to be inelastic, while luxury goods tend to be most elastic.