मराठी

True or False with Reason: If a commodity has unitary elastic demand, then according to total expenditure method, spending by a consumer will not change with change in price.

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प्रश्न

True or False with Reason:

If a commodity has unitary elastic demand, then according to total expenditure method, spending by a consumer will not change with change in price.

चूक किंवा बरोबर
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उत्तर

This statement is true.

Explanation:

  • Under unitary elastic demand, percentage change in quantity demanded is equal to percentage change in price.
  • As a result, total expenditure = price × quantity remains constant.
  • Therefore, consumer spending does not change when price changes.
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  या प्रश्नात किंवा उत्तरात काही त्रुटी आहे का?
पाठ 4: Elasticity of Demand - OBJECTIVE QUESTIONS [पृष्ठ ४.३५]

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संदीप गर्ग Introductory Microeconomics [English] Class 11
पाठ 4 Elasticity of Demand
OBJECTIVE QUESTIONS | Q 21. | पृष्ठ ४.३५
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