When a Good Has Many Close Substitutes Available,it Is Likely

question 98

Multiple Choice

When a good has many close substitutes available,it is likely to be:

• A) less price elastic than are goods without close substitutes available.
• B) more price elastic than are goods with many complement goods available.
• C) less price elastic than are goods with many complement goods available.
• D) more price elastic than are goods without close substitutes available.

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Definitions:

Social Security Benefits

Government payments made to eligible individuals, such as retirees or disabled workers, as part of a social insurance program.

Investment Component

The portion of GDP or economic output that is attributed to investment in physical assets, like buildings, equipment, and inventory.

Financial Investment

The allocation of resources into financial assets, such as stocks, bonds, or real estate, with the expectation of receiving future returns.

Purchases of Services

Transactions where buyers acquire services rather than tangible goods from sellers.