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प्रश्न
If a good takes up a significant share of consumers' budget, its demand will be ______.
पर्याय
Less elastic
Highly elastic
Unitary elastic
Perfectly elastic
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उत्तर
If a good takes up a significant share of consumers' budget, its demand will be highly elastic.
Explanation:
If a good consumes a significant portion of the consumer budget, it implies that it cannot be a necessary comfort or jointly demanded good.
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संबंधित प्रश्न
Demand for the commodity having multiple uses has elastic demand.
The price elasticity of demand for a good is - 0.4. If its price increases by 5 percent, by what percentage will its demand fall? Calculate.
A consumer buys 30 units of a good at a price of the Rs10per unit. The price elasticity of demand for the good is (-) 1. How many units will the consumer buy at a price of Rs 9 per unit? Calculate.
A consumer buys 27 units of a good at a price of Rs 10 per unit. When the price falls to Rs 9 per unit, the demand rises to 30 units. What can you say about price elasticity of demand of the good through the 'expenditure approach'?
A consumer spends Rs 400 on a good priced at Rs 4 per unit. When the price rises by 25 percent, the consumer continues to spend Rs 400. Calculate the price elasticity of demand by percentage method.
What do you mean by a normal good?
Define or explain the following concept:
Unitary Elastic Demand
Assertion (A): Elasticity of demand explains that one variable is influenced by another variable.
Reasoning (R): The concept of elasticity of demand indicates the effect of price and changes in other factors on demand.
What are the methods of measuring Elasticity of demand?
- Luxuries goods have generally elastic demand.
- Goods whose close substitutes are available have inelastic demand.
