The demand for firewood is likely to be more elastic in the summer than in the winter.

Question

Quizplus · Accepted Answer

During winter, firewood is necessary for heating purposes, hence demand is less likely to be affected by price changes. In summer, however, firewood is usually used for recreational purposes like camping, barbecuing, etc. - for which substitutes like propane, charcoal, etc. are available. Hence, demand is likely to be more sensitive to price changes in summer.

The Demand for Firewood Is Likely to Be More Elastic