If consumers start to believe they need a product, what is likely to happen? A. The demand becomes less elastic. B. The demand becomes more elastic. C. The supply decreases. D. The price decreases.
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If consumers believe that they need a product, it is more likely that the demand becomes less elastic, since the product is considered to be essential for the customers. Hence, the supply of the product may decrease over time as more and more customers realize that they need the product, therefore they'll buy it.
One example of a product which demand became less elastic is oil. Consumers rely on oil as a basic necessity for their cars and other types of vehicles, thus the elasticity of the demand became less. We may not realize it for now, but the supply of oil is decreasing over time since it is considered to be a non renewable form of energy, and the amount is depleting without any replacements or alternatives..