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प्रश्न
What are the degrees of price elasticity of Demand?
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उत्तर
The Degrees of Price Elasticity of Demand:
- Perfectly Elastic Demand (Ep = α)
- Perfectly Inelastic Demand (Ep = 0)
- Relatively Elastic Demand (Ep >1)
- Relatively Inelastic Demand (Ep < 1)
- Unitary Elastic Demand (Ep =1).
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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 spends Rs 1000 on a good priced at Rs 8 per unit. When price rises by 25 percent, the consumer continues to spend Rs 1000 on the good. Calculate the price elasticity of demand by percentage method.
When the price of good rises from Rs10 to Rs12 per unit, its demand falls from 25 units to 20 units. What can you say about price elasticity of demand of the good through the 'expenditure approach'?
Explain any 'two methods' of measuring price elasticity of demand.
Write short notes on the Proportional method of measuring the elasticity of demand.
A consumer buys 10 units of a commodity at a price of Rs. 10 per unit. He incurs an expenditure of Rs 200 on buying 20 units. Calculate price elasticity of demand by the percentage method. Comment upon the shape of demand curve based on this information.
Write a short note on factors determining elasticity of demand.
What is the elasticity of demand?
What do you mean by complements? Give examples of two goods which are complements of each other.
Give reason or explain the following statement.
All desires are not demand.
Fill in the blank with appropriate alternatives given below:
Cross elasticity of demand is applicable to ____________ goods.
Define the following concept:
Cross Elasticity of Demand
Give reason or explain the following statement:
Demand for commodity having multiple uses has elastic demand.
State whether the following statement is true or false. Give valid reasons in support of your answer.
Luxury goods often have lower price elasticity of demand.
Identify the correctly matched pair from the items in Column A by matching them to the items in Column B:
| Column A | Column B | ||
| 1 | Relatively Inelastic Demand | (a) | ed > 1 |
| 2 | Relatively Elastic Demand | (b) | ed < 1 |
| 3 | Perfectly Inelastic Demand | (c) | ed = 0 |
| 4 | Perfectly Elastic Demand | (d) | ed = 1 |
Study the following table and answer the questions:
| Price of Pen (₹) | Demand for Pen |
| 10 | 500 |
| `square` | 400 |
| 30 | `square` |
| `square` | 200 |
| 50 | `square` |
Questions:
- Complete the above table.
- Which type of relationship is found between the price of a pen and demand for the pen?
As a result of 5% fall in the price of a good, its demand rises by 12%, the demand for the good will said be ______.
When change in price is greater than the change in quantity demand it is a case of elastic demand.
