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From the following state whether the price elasticity of demand is inelastic, relatively elastic, highly elastic or highly inelastic. Give reasons to support your answer. demand for diesel and petrol - Economic Applications

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Question

From the following state whether the price elasticity of demand is inelastic, relatively elastic, highly elastic or highly inelastic. Give reasons to support your answer.

demand for diesel and petrol

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Solution

Demand for diesel/petrol will be inelastic as its substitutes are not available.

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Chapter 2: Elasticity of Demand - QUESTION BANK [Page 47]

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Goyal Brothers Prakashan Economic Applications [English] Class 10 ICSE
Chapter 2 Elasticity of Demand
QUESTION BANK | Q 26. (e) | Page 47
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