The demand for a good is elastic. Which of the following would be the most likely explanation for this?
A. The time interval considered is short.
B. The good is a necessity.
C. The good is broadly defined.
D. The good costs a large portion of one's total income.
Answer: D
Economics
You might also like to view...
If grocery stores were legally required to charge a 10-cent fee for disposable grocery bags, who would bear the largest burden of this fee?
What will be an ideal response?
Economics
During the financial crisis of 2007-2009, why did the Federal Reserve begin to utilize various types of unconventional monetary policy?
a. the federal funds rate had already been increased as much as possible b. the discount rate had already been increased as much as possible c. the federal funds rate had already been reduced to zero d. the discount rate had already been reduced to zero
Economics