How does the number of substitutes affect the price elastici

How does the number of substitutes affect the price elasticity of demand for a product or resource? What does a higher number of substitutes mean for the slope of the demand curve? What does a smaller number of substitutes mean for the slope of the demand curve?

Solution

How does the number of substitutes affect the price elasticity of demand for a product or resource?

What does a higher number of substitutes mean for the slope of the demand curve?

What does a smaller number of substitutes mean for the slope of the demand curve?