In a ________, consumers become more price-sensitive, switching brands to get better prices and reducing their consumption.
A) sharing economy
B) monopolistic market structure
C) recession
D) price war
E) keystoning pricing structure

Question

Quizplus · Accepted Answer

During a recession, consumers tend to have less disposable income, making them more price-sensitive and cautious with their spending. They may switch to cheaper brands or reduce their overall consumption. This behavior can lead to a decrease in demand and potentially trigger a downward spiral in the economy.

In a ________, Consumers Become More Price-Sensitive, Switching Brands to Get