Advertisements
Advertisements
Question
Study the table given below and state whether demand is elastic or inelastic. Give reasons for your answer.
| Price in ₹ | Total outlay ₹ |
| 5 | 25 |
| 3 | 18 |
Advertisements
Solution
The demand is relatively inelastic because the total outlay varies directly with the price of a good.
APPEARS IN
RELATED QUESTIONS

Analyse the given graphs and identify the type of elasticity of demand of:
- Picture 1
- Picture 2
Under what conditions does the supply of good exhibit unitary elasticity?
A demand curve which takes the form of a vertical line parallel to the price axis illustrates elasticity, which is ______.
Identify elastic demand when value of Ed is ______.
Which of the following goods has elastic demand?
When despite of no change in the price of the good, its quantity demanded increases from 10 units to 15 units, then coefficient of price elasticity will be ______.
From the following goods, demand for which is inelastic?
Select the commodities from the following which have inelastic demand:
Mention the degree of price elasticity of demand for the following goods:
Cosmetics
A list of goods is given below. state whether the price elasticity of demand is inelastic, relatively elastic, highly elastic or highly inelastic. Give reasons to support your answer.
Demand for cigar by a chain smoker
