Explain why each of the factors may influence the own price


(a) Explain why each of the following factors may influence the own price elasticity of demand for a commodity.

(i) Consumer preferences, that is, whether consumers regard the commodity as a 'luxury'' or a 'necessity''.

(ii) The narrowness of definition of the commodity.

(iii) The length of the period under consideration

(iv) The availability of substitutes for the commodity

Write your response in 1000-1200 words count.

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Microeconomics: Explain why each of the factors may influence the own price
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