other things being equal if a good has many substitutes then the price elasticity of demand is large smaller zero unity
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In this case price elasticity if demand is large.Other things being equal if a good has many substitutes then the price elasticity of demand is more elastic or perfectly elastic.Elasticity of demand refers to the changes in the demand for a product related to its price.If There are many substitutes, even a small increase in price will reduce its demand to a great extent.Similarly a reduction in the price can increase the demand immediately.
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