An important determinant of the price elasticity of demand is:
A)time available to adjust to price changes.
B)the price of related goods.
C)the level of technology.
D)the quantity of the good supplied.

Question

Quizplus · Accepted Answer

Time available to adjust to price changes is an important determinant of price elasticity because consumers may take longer to adjust their behavior and find substitutes for a good if they have less time available. If consumers have more time to adjust, the demand for the good may be more elastic.

An Important Determinant of the Price Elasticity of Demand Is