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The Fewer the Substitutes Good or Service, the More __ the Demand It The Smaller the Proportion of Income Spent on Good,

Soru

The fewer the substitutes for a good or service, the more __ is the demand for it The smaller the proportion of income spent on a good, the more __ is the demand for it A. inelastic; elastic B. inelastic; inelastic C. elastic; inelastic D. elastic; elastic The shorter the time that has elapsed since a price change, the more __ A. elastic is demand B. linear is the demand curve C. non-linear is the demand curve D. inelastic is demand

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4.4 (234 Oylar)
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Uzman doğrulaması
Elit · 8 yıl öğretmeni

Cevap

The correct answer is 'C. elastic; inelastic'.

Daha Fazla

## Step 1The first statement is about the demand for a good or service with fewer substitutes. In economics, when a good or service has fewer substitutes, it is considered inelastic. This is because consumers have fewer options to switch to other goods or services when the price of the original good or service changes. Therefore, the demand for such goods or services is inelastic.## Step 2The second statement is about the demand for a good where the proportion of income spent on it is small. In this case, the demand is considered elastic. This is because consumers can easily switch to other goods or services when the price of the original good or service changes. Therefore, the demand for such goods or services is elastic.## Step 3The third statement is about the demand over time after a price change. In the short term, demand is generally considered inelastic. This is because consumers do not have enough time to find substitutes or change their consumption habits. Therefore, the demand is inelastic in the short term.