If the market for a product is broadly defined, then A. the expenditure on the good is likely to make up a large share of one's budget. B. there are many substitutes for the product and the demand for the product is relatively elastic. C. the good has many complements. D. there are few substitutes for the product and the demand for the product is relatively inelastic.

Question

Lilliana Griffin

Business

2 August, 22:59

If the market for a product is broadly defined, then A. the expenditure on the good is likely to make up a large share of one's budget. B. there are many substitutes for the product and the demand for the product is relatively elastic. C. the good has many complements. D. there are few substitutes for the product and the demand for the product is relatively inelastic.

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Answers (2)

Know the Answer?

Izayah Benson · Answer 1

I think the answer is the good has many complements.

Explanation:

I have no real idea. I just have a feeling.

Reagan Schneider · Answer 2

The correct answer is letter "D": there are few substitutes for the product and the demand for the product is relatively inelastic.

Explanation:

Broad markets are those offering products that are not easy to substitute. Electricity is an example of a service that is not easy to substitute. Most narrow markets are monopolies, thus, they are characterized by having an inelastic demand meaning their quantity demanded does not change in front of changes in prices.