Multiple Choice
Which of the following is true of a good for which the demand is elastic?
A) The price change of the good persists over a longer time period.
B) The price change of the good does not persist over a longer time period.
C) The amount of income spent on the good is a small proportion of a consumer's budget.
D) The good does not have close substitutes in the market.
E) The good does not have complements in the market.
Correct Answer:
Verified
Correct Answer:
Verified
Q2: A perfectly elastic demand curve is vertical.
Q77: Consumer surplus increases whenever the price of
Q77: A steel mill raises the price of
Q79: A "war on drugs" is waged, and,
Q81: When a binding price floor is imposed
Q83: Market efficiency occurs when the margin of
Q84: Along the demand curve for a good,
Q85: When the demand for a good is
Q86: If the demand for apples is highly
Q87: Mia have been hired by the city