Consumers are less responsive to price increases when a good is a:
A) large share of their budget.
B) frequently advertised item.
C) necessity.
D) branded good.

Question

Quizplus · Accepted Answer

Consumers are less responsive to price increases for necessities because these goods or services are essential for daily living, making their demand less elastic compared to non-essential goods.

Consumers Are Less Responsive to Price Increases When a Good