Which price elasticity factor explains why items such as a patented medicine tend to have less elastic demand than aspirin?
A) availability of substitutes
B) share of budget
C) deferred consumption
D) variety of uses

Question

Quizplus · Accepted Answer

The availability of substitutes is a key factor in determining the elasticity of demand. For a patented medicine, there are often few or no substitutes available, making its demand less elastic compared to a product like aspirin, for which there are many substitutes.

Which Price Elasticity Factor Explains Why Items Such as a Patented