While shopping at the supermarket, Selina was dismayed to find that the price of orange juice was now 50% more than what she was used to paying. As a result, Selina purchased grapefruit juice, which was closer to what she usually pays. Based on this example, orange juice is ______.

Question

Quizplus · Accepted Answer

The fact that Selina decided to purchase grapefruit juice instead of orange juice when its price increased suggests that her demand for orange juice is sensitive to price changes, which is characteristic of an elastic good.

While Shopping at the Supermarket, Selina Was Dismayed to Find