When the demand for a good is inelastic, that good is likely to have:
A)many close complements.
B)few close complements.
C)many close substitutes.
D)few close substitutes.

Name: When the demand for a good is inelastic, that good is likely to have: A)many close complements. B)few close complements. C)many close substitutes. D)few close substitutes.
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Question

Quizplus · Accepted Answer

If a good has few close substitutes, the change in quantity demanded will be small relative to a change in price, implying that demand is inelastic.

When the Demand for a Good Is Inelastic, That Good