Services Are Intangible Products That Cannot Be Touched, Weighed, or Measured

question 80

True/False

Services are intangible products that cannot be touched, weighed, or measured.

---

Definitions:

Price Elasticity

The determination of how price alterations influence the market demand for a commodity.

Marginal Value

The additional satisfaction or utility received by consuming one more unit of a good or service.

Consumer's Demand

The desire of purchasers, users, or consumers for specific goods or services at a given price over a specified period.

Substitution Effect

The economic principle that as prices rise or incomes decrease, consumers will replace more expensive items with less costly alternatives.