Which of the following statements correctly characterizes the elasticity of demand for food? a. While food demand is not very responsive to changes in price, increases in income produce big increases in the demand for food. b. As income increases, the quantity demanded of food decreases. c. If the price of food falls by 5 percent, quantity demanded will rise by less than 5 percent. d. People consume the same amount of food regardless of the price of food.

Question

Yusuf

Business

29 December, 16:53

Which of the following statements correctly characterizes the elasticity of demand for food? a. While food demand is not very responsive to changes in price, increases in income produce big increases in the demand for food. b. As income increases, the quantity demanded of food decreases. c. If the price of food falls by 5 percent, quantity demanded will rise by less than 5 percent. d. People consume the same amount of food regardless of the price of food.

+3

Answers (1)

Know the Answer?

Aidyn Mclean · Answer 1

b. As income increases, the quantity demanded of food decrease

Explanation:

food weights for individuals whose income is sufficient enought to keep them healty and feed will not increase their food consumption much else. That's because, their already have it covered and want to saisfy new needs

The demand for food is only high at low levels of income.