Question

Match the following and select the correct option.

	Column I		Column II
(i)	Perfectly elastic demand	A.	Ed = 0
(ii)	Perfectly inelastic demand	B.	Ed = ∞
(iii)	Relatively elastic demand	C.	Ed < 1
(iv)	Relatively inelastic demand	D.	Ed > 1

Options

• (i) A, (ii) D, (iii) C, (iv) B

• (i) A, (ii) B, (iii) D, (iv) C

• (i) B, (ii) A, (iii) D, (iv) C

• (i) D, (ii) C, (iii) A, (iv) B

Answer 1

(i) B, (ii) A, (iii) D, (iv) C

Explanation:

	Column I		Column II
(i)	Perfectly elastic demand	B.	Ed = ∞
(ii)	Perfectly inelastic demand	A.	Ed = 0
(iii)	Relatively elastic demand	D.	Ed > 1
(iv)	Relatively inelastic demand	C.	Ed < 1