Which of the following makes demand less elastic?
A) the existence of many close substitutes for the good
B) spending a large proportion of income on the good
C) a short time elapsing since the product's price changed
D) All of the above answers are correct.
C
You might also like to view...
Which statement most accurately defines economics?
A) Economics is the study of how people make money. B) Economics is the study of how people make choices to satisfy their wants. C) Economics is the study of values a society should choose. D) Economics is the study of how to eliminate scarcity.
Which of the following is a reason why job A would pay a higher wage rate than job B?
a. job B requires more education b. job A offers greater fringe benefits c. job A offers free parking d. job A involves greater risk e. job B has a higher skill requirement