Price elasticity is impacted by all of the following EXCEPT:
A)the number of competing products available.
B)the percentage of a person's budget allocated to different products and services.
C)the number of substitute products available.
D)the amount of fixed versus variable costs involved in producing the product or service.
E)whether a person considers product a necessity or a luxury.

Question

Quizplus · Accepted Answer

The amount of fixed versus variable costs involved in producing the product or service does not directly impact price elasticity, which is more concerned with consumer behavior and choices rather than production costs.

Price Elasticity Is Impacted by All of the Following EXCEPT