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Price Elasticity of Demand · Question 50 of 62

Question 50

EasyOriginal question

The demand for a necessity such as salt is usually

Options for question 50

Show the answer and explanation
CorrectNot quiteAnswer A

Correct answer: A

Explanation

  1. Necessities are bought in roughly the same amounts whatever the price, so quantity responds little.

  2. Salt is also a tiny share of the budget, which makes demand even less elastic.

Concept
Necessities and elasticity
Typical time
40 s
Your time
—
The rule this testsWhat decides elasticity
Practise this chapter →

Ten questions from Price Elasticity of Demand, at your own pace.

Practise this chapter →

Ten questions from Price Elasticity of Demand, at your own pace.