CFA Practice Question

There are 539 practice questions for this study session.

CFA Practice Question

Factors that influence the elasticity of demand include all of the following except for ______.

I. resource substitution possibilities
II. closeness of substitutes
III. time elapsed since a price change
IV. proportion of income spent on the good
Correct Answer: I only

User Contributed Comments 5

User Comment
Masterkang A influences the elasticity of Supply
Khadria Its RESOURCE substitution and not the GOOD substitution so it will affect the supplier and not directly the consumer.
TUFF while consumers does not have direct power over resource substitution, they can only make their intent known through choice.
winniemao It is a factor influencing elasticity of SUPPLY
sgossett86 thanks candidates
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