Answer to Question #216574 in Economics for Paballo

Question

• You are told that the demand for Iwisa maize meal is more price elastic than the demand for all maize meal as a whole. Which of the following correctly explains this statement? A. Maize meal is a necessity.
•  B. Iwisa maize meal is a luxury product.
•  C. There are more substitutes for Iwisa maize meal than for maize meal as a whole.
•  D. There are fewer substitutes for Iwisa maize meal than for maize meal as a whole.

Answer 1

C. There is more substitutes for Iwisa maize meal than for maize meal as a whole.