All else equal, compared to small-budget items such as paper towels, the price elasticity of demand for big-ticket items such as refrigerators is:
A)higher.
B)lower.
C)very low.
D)equal.

Question

Quizplus · Accepted Answer

Goods that account for a large share of a person's budget have a higher price elasticity of demand than do goods that account for a small share of a person's budget.

All Else Equal, Compared to Small-Budget Items Such as Paper