Which of the following does not affect the price elasticity of demand for a product?
A) how long buyers have to respond to any price change
B) the number of close substitutes available for the product
C) how much demand shifts when buyers' incomes change
D) expenditures on the product relative to buyers' incomes

Question

Quizplus · Accepted Answer

The price elasticity of demand is influenced by factors such as the availability of substitutes, the time period for adjustment to price changes, and the proportion of income spent on the product. It is not directly affected by how much demand shifts when buyers' incomes change, which relates to income elasticity of demand rather than price elasticity.

Which of the Following Does Not Affect the Price Elasticity