The cost of a gizmo has gone up. Which of the following would indicate that there would be a good chance that this price increase would be met with an elastic response? The cost of a gizmo has gone up. Which of the following would indicate that there would be a good chance that this price increase would be met with an elastic response? (A) There are very few available substitutes for a gizmo. (B) Consumers consider gizmos to be a luxury item. (C) There is not much time for consumers to react to the price increase. (D) Gizmos represent a very small share of consumer spending.

The cost of a gizmo has gone up. Which of the following would indicate that there would be a good chance that this price increase would be met with an elastic response? The cost of a gizmo has gone up. Which of the following would indicate that there would be a good chance that this price increase would be met with an elastic response? (A) There are very few available substitutes for a gizmo. (B) Consumers consider gizmos to be a luxury item. (C) There is not much time for consumers to react to the price increase. (D) Gizmos represent a very small share of consumer spending.

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter3: Demand Analysis

Section: Chapter Questions

Problem 4E

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