Which of the following goods will have a higher price elasticity of demand in the long run?
A)air travel
B)gasoline
C)milk
D)cars
E)Chevrolets

Question

Quizplus · Accepted Answer

In the long run, consumers have more time to adjust their behaviors and explore alternatives, making demand for specific brands, such as Chevrolets, more elastic. They can switch to other brands or models if prices rise, unlike with more generic goods like gasoline or milk, where alternatives may not significantly differ in price or availability.

Which of the Following Goods Will Have a Higher Price