Which factor would make the demand for petrol more elastic over time?

Petrol becoming a smaller share of incomeCorrect answerYour answerMore people switching to electric vehicles and public transportCorrect answerYour answerFewer substitutes for petrolCorrect answerYour answerA stronger habit of drivingCorrect answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer B

Correct answer: B

More substitutes let buyers cut back more when the price rises.

Concept: Substitutes over time
Typical timeTypical: 70 s
Your timeYours: —

The rule this testsWhat decides elasticity

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

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Which factor would make the demand for petrol more elastic over time?

Explanation