Demand is more elastic when you are shopping in Walmart than when you shop at a small convenience store because:
A)more competing products means greater elasticity.
B)specific brands tend to have more elastic demand than categories of goods.
C)necessities have less elastic demand.
D)consumer search makes demand more elastic.

Question

Quizplus · Accepted Answer

Walmart has a larger number of competing products, thus giving consumers more options and making demand more elastic. In contrast, small convenience stores have fewer options which make demand less elastic.

Demand Is More Elastic When You Are Shopping in Walmart