The demand for Dell laptops is more price elastic than the demand for laptops as whole.This is best explained by
A)There are fewer substitutes for Dell laptops than for laptops as whole
B)There are more substitutes for Dell laptops than for laptops as whole
C)Dell laptops are luxurious goods
D)Dell laptops are a necessity

Question

Quizplus · Accepted Answer

The greater availability of substitutes for Dell laptops compared to laptops as a whole makes the demand for Dell laptops more price elastic. Customers have more options to consider and are likely to shift to other brands if Dell raises its prices.

The Demand for Dell Laptops Is More Price Elastic Than