Which of the following does not determine a good's price elasticity of demand?
A)the time interval considered
B)the number of substitutes there are for the good
C)expenditures on the good as a percentage of the total consumer budget
D)the slope of the demand curve
E)the more of a luxury a particular good is

Question

Quizplus · Accepted Answer

The slope of the demand curve does not determine a good's price elasticity of demand. Price elasticity of demand is determined by factors such as the time interval considered, the number of substitutes available, and the percentage of consumer budget spent on the good. The elasticity can also be influenced by whether a good is a luxury or a necessity.

Which of the Following Does Not Determine a Good's Price