Nonusers demand for addictive substances is elastic. A moderately higher price leads to a substantially smaller number
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Nonusers’ demand for addictive substances is elastic. A moderately higher price leads to a substantially smaller number of people trying a drug and so exposing themselves to the possibility of becoming addicted. But the existing users’
demand for addictive substances is inelastic. Even a substantial price rise brings only a modest decrease in the quantity demanded.
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