Demand Changes & Elasticity

Demand Changes & Elasticity

Multiple Select

Which of the following determines the demand of a product? (check all that apply)

• price of the good

• consumer expectations

• consumer's income

• tastes and preferences

Multiple Choice

Complementary goods typically rely upon ______for its demand.

• loyal costumers

• price

• another good

Multiple Select

Products whose demand is "elastic" have the following qualities:

• they are NOT a necessity

• they can be easily substituted

• they are a necessity

• they can NOT be easily substituted

Multiple Choice

Gas and electricity are examples of products with inelastic demand, because the change in price...

• drastically impacts the demand

• has little to no effect on the demand

• causes people to buy much more