The market for mobile intravenous (IV) wellness and hydration therapy has seen exponential growth in major financial hubs. Services like HydroDrip and VitalFlow dispatch certified nurses to deliver bespoke vitamin infusions directly to a client's office or home within 45 minutes, charging a flat call-out fee of £75 alongside premium treatment prices up to 30% higher than standard clinic visits. Despite these high prices, high-earning corporate executives and wealthy wellness enthusiasts frequently use these on-demand services to quickly recover from travel fatigue or intense work weeks. Industry data reveals that demand strongly tracks fluctuations in corporate bonuses and executive discretionary income, with booking volumes surging during financial market upturns.
However, critics highlight potential negative side effects, such as the environmental impact of single-use medical waste and increased traffic congestion from nurses travelling in private vehicles. Concerns have also been raised regarding the gig-economy nature of the work for contract nurses, who face irregular shifts without guaranteed hours. While the platforms argue they offer unmatched flexibility and premium compensation per visit, professional associations are calling for stricter regulatory oversight of mobile clinical practices.
With reference to Extract B, examine whether the demand for mobile IV hydration therapy services is price inelastic and income elastic.
119 exam-style questions on Edexcel A A Level Economics 1.2.3 Price, income and cross elasticities of demand. Each one has a worked solution and a mark scheme showing where the marks go.