1. This pertains to the demand for health care. a. Draw a vertical demand curve on a graph. b. Using the formula for the elasticity of demand, show why this is a perfectly inelastic demand? c. Can subsidy used to promote access to health care work if the demand is perfectly inelastic? Why or why not? d. Next, consider the demand equation q = - price. Plot this demand curve. 1 4 P + 200, where q is the number of doctor visits, p is = $100, respectively. e. Calculate the point elasticity of demand when p = $5 and p f. Comment on the elasticity estimates from part e.