If Consumers Cannot Readily Switch to a Close Substitute When

question 106

Multiple Choice

If consumers cannot readily switch to a close substitute when the price of a good increases, the demand for that good is likely to be:

• A)elastic.
• B)inelastic.
• C)unit elastic.
• D)perfectly elastic.

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Definitions:

Valve Division

A NO.

Selling Costs

Expenses associated with the marketing and distribution of a product or service.

Transmitter Division

A specialized segment within a company or industry that focuses on the development, manufacturing, or sale of transmitters for various applications.

Outside Supplier

A third-party entity or company that provides goods or services to another company as part of the production process or operational needs.