For each of the following products, indicate whether you believe demand will be relatively priced elastic or relatively price inelastic. Give economic reasons for each reply. Remember that high demand does NOT imply high elasticity. High elasticity occurs if a change in quantity demanded is relatively large compared to the associated change in price regardless of how high the quantity demanded is, to begin with.

a. Mayonnaise in general

b. A specific brand of mayonnaise

c. Chevrolet automobiles

d. Tesla automobiles

e. Washing machines

f. Beer  

Answer rating: 100% (QA)

ANSWER A Mayonnaise in general Mayonnaise is a thick creamy dressing that contains egg yolks vinegar ... View the full answer