If the Good or Service Produced by a Company Has

Multiple Choice

If the good or service produced by a company has an inelastic demand then during bargaining

A) the union may demand higher wages as the additional cost may not negatively impact the company.
B) the union will not likely be able to demand higher wages as the costs cannot be transferred to the customer.
C) it will not impact the unions ability to obtain higher wages in bargaining.
D) the union will demand greater job security for its employees as demand for the good or service will fall.
E) the company will resist any demands for wage increases, as any increase in the sale price will reduce demand .