The Toronto Transit Commission (TTC)subway system offers senior citizens discounted fares for TTC rides.This suggests that the TTC believe that senior citizens have a ________ demand for subway, bus, and streetcar rides.
A)more income elastic
B)less income elastic
C)more price elastic
D)less price elastic

Question

Quizplus · Accepted Answer

The TTC offers discounted fares to senior citizens because they likely have a more price elastic demand. This means that their demand for rides is more sensitive to changes in price, so a lower fare would encourage more ridership among seniors.

The Toronto Transit Commission (TTC)subway System Offers Senior Citizens Discounted