Demand for a good becomes more elastic as: a. the number of ...

[jeatrice]

Demand for a good becomes more elastic as:
 a. the number of substitutes available declines.
  b. the time period under consideration becomes shorter.
  c. a good makes up a larger percentage of a consumer's budget.
  d. a good makes up a smaller percentage of a consumer's budget.
  e. the producer has more time to respond to price changes.

Question 2

A budget line shows:
 a. the combinations of two goods that yield the same level of utility.
 b. the relationship between the price and the quantity supplied of a good or service.
 c. the combinations of two goods that can be purchased at given prices with a given level of income.
  d. the relationship between the price and the quantity demanded of a good or service.

[kusterl]

Answer to Question 1

c

Answer to Question 2

c