Question

Detailed examples of two goods in your life that have an elastic demand and two goods that have an inelastic demand

- Explain your reasoning being sure to apply what you’ve learned in class

- Provide your economic opinion on the EpiPen - using information from the articles and concepts covered in class

- Lastly, answer the question ‘Should a potential Covid-19 vaccine be free and available to everyone?’ Back up your opinion using economic concepts covered in class

Answer 1

Answer:

Examples of two goods that have an elastic demand:-

Elasticity of demand refers to the change in demand when there is a change in factor that may be such as price or income. If demand for a good or service is Changes dramatically when the price changes, demand is said to be elastic

For Example : Coca cola, Ice cream

Coca cola has eleastic demand mean price changes will bring big fluctuation in quantity demanded than the percentage of changes in price .Ice cream is having substitute goods which has elastic demand as it is not necessiated goods .

Examples of two goods that have an Inelastic demand:-

INElasticity of demand refers to the change in demand when there is a change in factor that may be such as price or income. If demand for a good or service is static even when the price changes, demand is said to be inelastic

For Example : Toilet Paper , Salt , Sugar, Milk

Above all Example are of inelastic demand mean hereby the percentage change in price will not fluctuate significant the demand of these products .A small portion income spent on salt , Milk is necessary goods , Sugar is used by daily users , toilet paper is also necessary goods hence the demand percentage changes compared to changes in price is very less of these goods.

Should a potential Covid-19 vaccine be free and available to everyone :-

The vaccine will be used by those who have real need of the same and is very very necessary and inelastic goods.The changes in price will not effect its demand .

The vaccine should be the wide accessible no matter which the country is .The covid 19 will defeat only if this vaccine is in wide access of the worldwide citizens . For rich country it is easy to access but unjust if it is outside of rich of poor countries or its poor people. The final price of any vaccine should be one that governments of poor and rich countries alike can afford so all citizens can get it free at the point of care.If possible for the wider access the vaccine should be available to the every single person by the government by goving price support to the poors .

Only this is the way the justice can happen .

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