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Aldrine Barbers
on Oct 08, 2024

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The elasticity of resource demand will be greater the:

A) smaller the portion of the product's total costs accounted for by the resource.
B) less the elasticity of demand for the product it is producing.
C) easier it is to substitute other resources in production.
D) less the elasticity of resource supply.

Elasticity

A measure of how much the demand or supply of a product changes in response to a change in price or other economic variables.

Resource Demand

The desire and ability of producers to acquire resources or inputs necessary for production.

Production Substitute

An alternative product or process that can be used in place of another in production, often to save costs or improve efficiency.

  • Understand the elements that impact the responsiveness of demand towards resources.
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Pranit TiwariOct 14, 2024
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