Elasticity refers to the responsiveness of demand due to
Cost
Price
Motivation
Income
Products that are addictive (cigarettes, alcohol, cocaine etc.) tend to be
Inelastic, because people are not willing to pay more for a product that has no real benefit in their life.
Elastic, because people who are addictive will always want the product, regardless of the price.
Inelastic, because people who are addictive will always want the product, regardless of the price.
Elastic, because people are not willing to pay more for a product that has no real benefit in their life.
Business air travel is more inelastic than leisure air travel because
People who travel for business usually travel in first class so it's more expensive.
People who travel for leisure will have other options other than traveling for vacation.
There is more people traveling for business than people traveling for leisure.
There is more people traveling for leisure than people traveling for business.
The demand curve is upward sloping.
Lipton Ice Tea and Fuze Tea are weak substitutes.
If the price for iPhones suddenly rises drastically, what is expected to happen to the demand for the Samsung Galaxy?
It will increase
It will stay the same
It will decrease
It will decrease and then increase in the long run.
Which of the following is an example of a complementary good of pasta?
Coca-Cola
Eggs
Nuts
Parmesan cheese
Product A has unitary elasticity. If the price for Product A goes from $20 to $100, the demand will be
5,7x lower
5,4x higher
5,3x lower
None of the above
Cellphones and SIM cards are expected to have joint demand.
Motivation is one of the factors affecting PES.
