Which of the following tends to make demand for a good more elastic?
A)A reduction in the number of substitutes for the good.
B)Consumers have a long time to adjust to a price change.
C)The amount spent on the good is a small proportion of the consumer's budget.
D)The good is broadly defined.
E)The good is a necessity.

Question

Quizplus · Accepted Answer

When consumers have a long time to adjust to a price change, they can find alternatives or change their consumption habits, making demand more elastic.

Which of the Following Tends to Make Demand for a Good