Question

Demand for a good will tend to be more inelastic if it exhibits the following characteristics —
(a) The good has many substitutes
(b) The good is a luxury (as opposed to a necessity)
(c) The good is a small part of the consumer’s income
(d) There is a great deal of time for the consumer to adjust to the change in prices

Answer 1

Answer:

c

Explanation:

The income of the consumer matters to his responsivness of the change in the price of the commodity because it is part of his income.