Question

question 21
if demand is inelastic, the absolute value of the price elasticity coefficient is greater than one.
true
false
question 22
if the market for a product is broadly defined, then
there are many substitutes for the product and the demand for the product is relatively elastic.
there are few substitutes for the product and the demand for the product is relatively inelastic.
the expenditure on the good is likely to make up a large share of one’s budget.
the good has many complements.

Explanation:

For Question 21: When demand is inelastic, the absolute - value of the price elasticity coefficient is less than 1, not greater than 1. For Question 22: When a product's market is broadly defined, there are few substitutes, and demand is relatively inelastic.

Answer:

Question 21: False
Question 22: there are few substitutes for the product and the demand for the product is relatively inelastic.