If consumers were largely indifferent to a $0.50 increase in the price of a liter of milk,the price rise is said to fall within customers' ________.
A)price indifference band
B)experience curve
C)arm's-length price
D)learning curve
E)net price index

Question

Quizplus · Accepted Answer

The term "price indifference band" refers to a range of prices within which consumers are largely indifferent to small price changes. Since consumers are reportedly indifferent to a $0.50 increase in the price of milk, this indicates that the price increase falls within their price indifference band.

If Consumers Were Largely Indifferent to a $0