The demand for a pack of gum is ______________ than is the demand for a steak because _______________.
A) less price elastic; a pack of gum requires a smaller portion of one's income.
B) more price elastic; a pack of gum requires a smaller portion of one's income.
C) less price elastic; a pack of gum is more of a luxury.
D) more price elastic; a pack of gum is more of a luxury.

Question

Quizplus · Accepted Answer

The demand for a pack of gum is less price elastic because it requires a smaller portion of one's income, making consumers less sensitive to price changes.

The Demand for a Pack of Gum Is ______________ Than