Newspapers have seen a steep decline in readership due to the availability of 24 h news channels.This demonstrates that the elasticity of demand
A)is dependent on the availability of substitutes.
B)is invariant for luxury items.
C)is invariant for necessary items.
D)is independent of consumer desire.

Question

Quizplus · Accepted Answer

The availability of 24 h news channels has provided a substitute for newspapers, leading to a decrease in demand for newspapers. This shows that the elasticity of demand is dependent on the availability of substitutes.

Newspapers Have Seen a Steep Decline in Readership Due to the Availability