At The Crepe Café in Bahrain, the regular dinner main course costs on average 3.2 Bahrain dinars (BHD) (US$1 = 0.377), with an additional BHD1.2 for a salad and a soft drink. But if you go to The Crepe Café at lunchtime, between 11 and 3, you will get the same main course, a salad, and a soft drink for only BHD2.9.
A) Crepe Café serves less quantity of food at lunch time.
B) Crepe Café serves lower quality food at lunch time.
C) Customers who are considering eating out for lunch have a high elasticity of demand and therefore need to be offered a lower price to attract them to eat at the Crepe Café.
D) None of the above.

Question

Quizplus · Accepted Answer

The information provided suggests that The Crepe Café offers a lower price for the same meal during lunch hours to attract more customers, which implies that customers have a high elasticity of demand during these hours. There's no indication that the quantity or quality of food changes.

At the Crepe Café in Bahrain, the Regular Dinner Main