Final answer:
The population becomes a more important variable in determining demand for low-priced products.
Step-by-step explanation:
In economics, the demand curve is used to illustrate the relationship between the price of a product and the quantity demanded. Along the demand curve, the price elasticity of demand changes, meaning the responsiveness of demand to price changes varies. When the price of a product is low enough, such as in the case of low-priced products, the population becomes a more important variable in determining demand.
For example, if a product is priced at $1, a one-unit change in price will have a much smaller impact on demand as a percentage compared to when the price is higher. At the bottom of the demand curve, where quantity demanded is high, a one-unit change in quantity demanded will also have a smaller impact as a percentage. This is because the percentage change in price or quantity becomes smaller as quantity demanded increases.