Solution - Income elasticity of demand for inferior goods is negative. - Elasticity of Demand

A consumer spends Rs 100 on a good priced at Rs 4 per unit. When price rises by 50 percent, the consumer continues to spend Rs 100 on the good. Calculate the price elasticity of demand by percentage method

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.

The measure of price elasticity of demand of a normal good carries minus sign while price elasticity of supply carries plus sign. Explain why?

A consumer spends Rs 400 on a good priced at Rs 8 per unit. When its price rises by 25  percent, the consumer spends Rs 500 on the good. Calculate the price elasticity of demand by the Percentage method.