Upgrade to access all content for this subject
Which of the following is MOST likely to make the demand for a resource relatively inelastic?
The cost of the resource makes up a small portion of overall production costs.
The cost of the resource makes up a large portion of overall production costs.
The resource has a large number of substitutes.
The demand for the product that the resource produces is relatively elastic.
The product the resource is used to produce is a luxury.