Explain why food is price inelastic.

The price elasticity of a good measures the proportionate change in demand to an inital change in price. If a good is price inelastic it suggests that an increase in price leads to a less than proportionate change in demand. 

Food can be considered a neccessity since it is neccessary for human survival; there are no substitutes for sustaining life. This means that food can be considered price inelastic since an increase in price will not lead to a significant drop in demand since consumers have no choice but to purchase the food. 

RS
Answered by Roscoe S. Economics tutor

12412 Views

See similar Economics GCSE tutors

Related Economics GCSE answers

All answers ▸

What is the Phillips curve?


What's the difference between movements along and shifts in the demand curve?


What are the factors affecting the price elasticity of demand?


Evaluate the view that perfect competition is a more efficient market structure than monopoly.


We're here to help

contact us iconContact ustelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

MyTutor is part of the IXL family of brands:

© 2025 by IXL Learning