When a consumer is able and willing to buy a good or service, he or she creates which of the following? Consumption Demand Elasticity Allocation

## Step 1<br />The problem is asking us to identify what is created when a consumer is both able and willing to buy a good or service. The options provided are Consumption, Demand, Elasticity, and Allocation.<br /><br />## Step 2<br />Let's analyze each option:<br />- Consumption refers to the use of goods and services by households. It is not created by the consumer's willingness and ability to buy, but rather by the act of using the goods and services.<br />- Demand, in economics, is the desire of consumers to purchase goods and services. It is created when a consumer is both able and willing to buy a good or service.<br />- Elasticity is a measure of how much the quantity demanded or supplied of a good responds to a change in its price. It is not created by the consumer's willingness and ability to buy, but rather by the change in price.<br />- Allocation refers to the distribution of resources among different uses. It is not created by the consumer's willingness and ability to buy, but rather by the decision of how to distribute the resources.<br /><br />## Step 3<br />Based on the above analysis, the correct answer is Demand. When a consumer is both able and willing to buy a good or service, they create demand for that good or service.