What Is Generally True About a 'Big Ticket Item' Such

question 32

Multiple Choice

What is generally true about a 'big ticket item' such as a house or new car?

• A)It will tend to have a more elastic demand than a lower priced good.
• B)It will tend to have an inelastic demand because spending on the item takes up a large share of the average consumer's budget.
• C)It will tend to have an inelastic demand because it has many substitutes.
• D)It will tend to have a more inelastic demand the more time that passes.

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Definitions:

Psychical Mechanisms

Processes by which psychological factors influence or determine behavior and mental states.

Hysterical Phenomena

Symptoms or behaviors that are a manifestation of extreme stress, anxiety or unconscious conflict, often appearing without an apparent organic cause.

Freud And Breuer

Refers to Sigmund Freud and Josef Breuer, pioneers in the development of psychoanalysis, with their early work on hysteria laying the groundwork for psychoanalytic theory.

Hysteria

An outdated medical term once used to describe a variety of psychological disorders characterized by extreme emotional reactions and somatic symptoms; now understood in terms of specific disorders.