You spend 45% of your budget on housing, 30% on food, and 25% on entertainment. based only on this information, which would you expect to have the most inelastic demand?

Question

asked Apr 24, 2018 154k views

2 Answers

← Prev Question Next Question →

Ask a Question

Uvesten · Answer 1 · 2018-04-29T23:51:42+0000

Inelastic demand is those demands that the quantity does not change regardless if the price changed. This is also called insensitive demand. In the problem, the inelastic demand is the "45% of the budget which goes to housing" while the others are considered elastic demand.

You spend 45% of your budget on housing, 30% on food, and 25% on entertainment. based only on this information, which would you expect to have the most inelastic demand?

Please log in or register to add a comment.

Please log in or register to answer this question.

2 Answers

Please log in or register to add a comment.

Please log in or register to add a comment.

No related questions found

Categories

Other Questions