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If the demand is elastic, what will be the effect of a fall in price on consumer's total outlay? - Economics

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प्रश्न

If the demand is elastic, what will be the effect of a fall in price on consumer's total outlay?

अति संक्षिप्त उत्तर
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उत्तर

Total expenditure rises: If demand is elastic, a fall in price will lead to an increase in consumer's total expenditure. This is because the percentage increase in quantity demanded is greater than the percentage decrease in price.

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अध्याय 4: Elasticity of Demand - TEST YOURSELF QUESTIONS [पृष्ठ ७३]

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फ्रैंक Economics [English] Class 12 ISC
अध्याय 4 Elasticity of Demand
TEST YOURSELF QUESTIONS | Q 22. | पृष्ठ ७३
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