"The fewer the number of substitutes for a good, the more elastic the demand for that good." Is the previous statement true or false?
What will be an ideal response?
The statement is false. The greater the number of substitutes, the more elastic the demand for that product. Conversely, the fewer the number of substitutes, the less elastic (the more inelastic) the demand for that product.
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Since the end of World War II,
A) tariffs around the world fell substantially. B) agricultural subsidies were significantly reduced. C) most nations began to apply tariffs uniformly across all industries. D) tariffs increased in low-income countries and fell a small percentage in high-income countries.
Exports minus imports equal ______________.
Fill in the blank(s) with the appropriate word(s).
The marginal revenue product schedule is a
A. demand schedule for a final product. B. demand schedule for a resource. C. supply schedule for a final product. D. supply schedule for a resource.
A monopolistically competitive firm has a:
A. highly elastic demand curve. B. highly inelastic demand curve. C. perfectly inelastic demand curve. D. perfectly elastic demand curve.