Economics 9708 · AS & A Level · Income elasticity of demand

Income elasticity of demand — practice question

What conclusion can be drawn about the roles of demand and supply in a free market?

  • AThey allocate resources to the greatest needs.
  • BThey ensure that goods and services are distributed equally.
  • CThey are both significant in setting the market price.
  • DThey ensure that everyone can benefit from the good or service provided.

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