Which of the following statement is true?
A)The demand for Cheerios is less elastic than the demand for cereal
B)The demand for gas is more elastic in the short-run than in the long-r
C)The demand for puma shoes is more elastic than the demand for shoes
D)Products with many complements have a more elastic demand

Question

​Which of the following statement is true?
A)​The demand for Cheerios is less elastic than the demand for cereal
B)The demand for gas is more elastic in the short-run than in the long-r
C)The demand for puma shoes is more elastic than the demand for shoes
D)​Products with many complements have a more elastic demand

Quizplus · Accepted Answer

The demand for a specific brand of a product (like Puma shoes) is generally more elastic than the demand for the product category as a whole (like shoes) because consumers can easily switch to other brands if the price of one brand increases, indicating a higher sensitivity to price changes.

​Which of the Following Statement Is True

Which of the Following Statement Is True