There are very few,if any,good substitutes for motor oil.What does this imply
A)The supply of motor oil would tend to be price elastic.
B)The demand for motor oil would tend to be price elastic.
C)The demand for motor oil would tend to be price inelastic.
D)The demand for motor oil would tend to be income elastic.

Question

Quizplus · Accepted Answer

The fact that there are few substitutes for motor oil implies that the demand for it would be relatively unaffected by changes in its price (i.e., price inelastic). Customers would need to continue purchasing it regardless of any increase in its cost.

There Are Very Few,if Any,good Substitutes for Motor Oil