According to a study of the price elasticities of products sold in supermarkets, the price elasticity of demand for toothpaste is estimated at -0.45.Which of the following could explain why the price elasticity of demand for toothpaste is so low?
A) The toothpaste industry is highly competitive.
B) Toothpaste is relatively inexpensive.
C) Toothpaste is heavily endorsed by dentists.
D) There are few close substitutes for toothpaste.
Correct Answer:
Verified
Q79: What does price elasticity of demand measure?
Q81: The larger the share of a good
Q82: Rank these three items in terms of
Q89: Holding everything else constant, the demand for
Q90: According to an article in the Wall
Q91: The demand for gasoline in the short
Q93: Holding everything else constant, the absolute value
Q96: Which of the following statements is true?
A)In
Q99: If the price of steel increases drastically,
Q100: When there few close substitutes available for
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents