Suppose you have one hour to catch a flight to miami for spring break, and it takes 45 minutes to drive to the airport. your car is almost out of gas and the price of gas at the closest gas station is higher than at other gas stations that are much farther away. to you, the price elasticity of demand for gas is likely to be than it would be if you had several hours before the flight.

more elastic

Explanation:

What Is Price Elasticity of Demand?

Price elasticity of demand refers to how the demand of the product quantity changes as its price changes.

This can be expressed mathematically in the following way:

Price Elasticity of Demand = % Change in Quantity Demanded / % Change in Price

Economist uses this method to gauge how does the changes brought to the price of the product affect its demand or supply. Inelastic goods are those which has the demand that remain more or less the same over time even when their prices changes because nomatter what their prices are they are still a necessity for someone to get by in life such as gasoline you need it to drive from one place to another even if its expensive.

More elastic goods refers to those which the price shifts due to the shifts in their demand in this situation above your demand has shifted and the price has become more elastic.

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