Final answer:
The correct answer is C) overfull. This term refers to a market situation where the demand exceeds the supply, and it is associated with a demand curve that is inelastic, meaning that changes in price do not significantly alter the quantity demanded.
Step-by-step explanation:
When demand is overfull, it implies that more customers would like to buy the product than can be satisfied. Option C) overfull is the correct answer. This situation commonly occurs when the demand curve is inelastic in a certain area, where its elasticity value is less than one, meaning that there is a low responsiveness of quantity demanded to changes in price. In contrast, elastic demand indicates a high responsiveness of quantity demanded or supplied to changes in price. Furthermore, when consumers demand more goods than are available on the market, prices are driven higher which in turn induces more suppliers to enter the market, eventually producing an amount equivalent to that which is demanded.