Which of these has the most elastic demand?

A) Filet Mignon steak
B) Bread
C) Heart medicine
D) Insulin (diabetes medicine)

Question

Which of these has the most elastic demand?A) Filet Mignon steakB) BreadC) Heart medicineD) Insulin (diabetes medicine)

Jasmine Washington · Accepted Answer

Final Answer : A, Explanation :  Filet Mignon steak has the most elastic demand among the options given because it is a luxury item. Consumers are more sensitive to price changes for luxury items and can easily substitute them with cheaper alternatives, unlike necessities such as bread, heart medicine, and insulin, where demand is relatively inelastic regardless of price changes.

Which of these has the most elastic demand?

A) Filet Mignon steak
B) Bread
C) Heart medicine
D) Insulin (diabetes medicine)

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Learning Objectives

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