Title: QUIZ: Factors That Influence Price Elasticity of Demand (2/3) -- Price Elasticity of Demand Video Explainers
Course: Recommended Resources for AP Micro from FRE > Section: Unit 2: Supply and Demand

Q: Price elasticity tends to be higher in the long run because _________.
- consumers are more sensitive to price changes
- consumers have more time to find substitutes
- goods become more expensive over time
- market competition decreases
A: consumers have more time to find substitutes

Q: If a good takes up a large portion of a consumer's income, its demand is likely to be _________.
- price elastic
- price inelastic
- unit elastic
- perfectly elastic
A: price elastic

Q: When considering a change in price for a specific product within a broader category, such as shoes, which factor of elasticity becomes crucial?
- Necessity vs. luxury 
- Portion of income
- Availability of close substitutes
- Time horizon
A: Availability of close substitutes

Q: If a consumer considers a product a necessity and is likely to continue purchasing it despite price increases, the demand for that product is likely to be _________.
- price elastic
- price inelastic
- unit elastic
- perfectly elastic
A: price inelastic

Q: Which of the following is an example of a product with relatively price inelastic demand?
- Movie tickets
- Luxury watches
- Prescription medication
- Designer handbags
A: Prescription medication

Q: The demand for a good with few close substitutes is likely to be _________.
- price elastic
- perfectly elastic
- unit elastic 
- price inelastic
A: price inelastic