When a particular product has numerous but imperfect substitutes, the demand for that product will tend to be
A) inelastic.
B) elastic.
C) unitary.
D) perfectly elastic.

Question

Quizplus · Accepted Answer

When a product has numerous but imperfect substitutes, consumers can easily switch to another product in response to a small change in price. This makes the demand for the product more elastic, meaning that a change in price will result in a larger change in quantity demanded.

When a Particular Product Has Numerous but Imperfect Substitutes, the Demand