FIGURE 4.13 ELASTIC DEMAND CURVE FIGURE 4.14 INELASTIC DEMAND CURVE 120 300 @ In Figure 4.13, elastic demand curves have 10 250 gradual slopes. They are more horizontal CO 200 than vertical because of the greater changes in Price per filling (in dollars) Price per ticket (in dollars) 150 quantity demanded. b In Figure 4.14, inelastic demand curves have 100 steep slopes. They are more vertical than N 50 horizontal because quantity demanded changes very little. 8 12 16 20 0 20 40 60 80 100 120 Quantity demanded of movie tickets (in thousands) Quantity demanded of fillings ANALYZE GRAPHS 1. In Figure 4.13, what happens to the quantity demanded when price drops from $10 to $8? 2. In Figure 4.14, what is the difference in quantity demanded between the most expensive and least expensive filling? 3. What can conclude about the slope of the elastic demand curve as compared to the slope of the inelastic demand curve? 4. What is the relationship between the slope of the demand curve and elasticity of demand? Factors affecting the elasticity of demand