The narrower the definition of a product: A.the larger the number of substitutes
ID: 1250431 • Letter: T
Question
The narrower the definition of a product: A.the larger the number of substitutes and the larger theprice elasticity of demand. B.the smaller the number of substitutes and the larger theprice elasticity of demand. C.the larger the number of substitutes and the smaller theprice elasticity of demand. D.the smaller the number of substitutes and the smaller theprice elasticity of demand. The narrower the definition of a product: A.the larger the number of substitutes and the larger theprice elasticity of demand. B.the smaller the number of substitutes and the larger theprice elasticity of demand. C.the larger the number of substitutes and the smaller theprice elasticity of demand. D.the smaller the number of substitutes and the smaller theprice elasticity of demand.Explanation / Answer
Answer A. the larger the number of substitutes and the larger theprice elasticity of demand. Explanation The more possible substitutes, the greater theelasticity.Consumers have more choices to purchase --- results inelasticity.