Assume a seller of Philly Cheesesteak sandwiches finds out that the elasticity of demand for their product in Tucson is 1.8. What is the best explanation of why this elasticity is what it is?   Question 3 options:   There are very few close substitutes for Philly Cheesesteak sandwiches in Tucson   There are many close substitutes for Philly Cheesesteak sandwiches in Tucson   Philly Cheesesteak sandwiches are considered a necessity in Tucson   Philly Cheesesteak sandwiches are a category and therefore have a more inelastic demand.   Philly Cheesesteak sandwiches are a very small part of a Tucsonan's budget

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
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Chapter1: Making Economics Decisions
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Assume a seller of Philly Cheesesteak sandwiches finds out that the elasticity of demand for their product in Tucson is 1.8. What is the best explanation of why this elasticity is what it is?

 

Question 3 options:

 

There are very few close substitutes for Philly Cheesesteak sandwiches in Tucson

 

There are many close substitutes for Philly Cheesesteak sandwiches in Tucson

 

Philly Cheesesteak sandwiches are considered a necessity in Tucson

 

Philly Cheesesteak sandwiches are a category and therefore have a more inelastic demand.

 

Philly Cheesesteak sandwiches are a very small part of a Tucsonan's budget

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