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प्रश्न
Elasticity of demand for two goods A and B is -2 and -3 respectively. Then good A has higher elasticity.
विकल्प
True
False
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उत्तर
This statement is False.
Explanation:
Good B has a higher elasticity because -3 (the elasticity of demand for good B) is more elastic than -2 (the elasticity of demand for good A). The more negative the elasticity value, the more elastic the demand is.
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संबंधित प्रश्न
Explain the effect of the following on the price elasticity of demand of a commodity:
(i) Number of substitutes
(ii) Nature of the commodity
Write Short note on the following.
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State 3 factors which affect price elasticity of demand.
Discuss any three/ four factors determining price elasticity of demand.
How does the nature of a commodity affect its price elasticity of demand?
What type of demand characterizes necessity goods compared to luxury goods?
Which statement correctly describes the relationship between postponement and price elasticity?
