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10 January, 21:16

Compare the demand for pepper with demand for clothes. The demand for pepper is likely:

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  1. 10 January, 21:35
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    E. more inelastic because pepper tends to represent a smaller fraction of a consumer's budget. There is a difference between in elastic and in inelastic demand. Elastic demand means that a small change of the price, of something, causes a big change in quantity of something. On the other hand, we have inelastic demand - it means that if the price of something is changed, it does not necessarily affect the quantity of that something.
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