English

What is meant by inelastic demand? - Economics

Advertisements
Advertisements

Questions

What is meant by inelastic demand?

Give the meaning of inelastic demand.

What is inelastic demand?

Very Short Answer
Advertisements

Solution

When a large change in the price does not bring so much change in the demand, the demand is said to be inelastic. In this situation, percentage change in demand is lesser than the percentage change in price.

shaalaa.com
  Is there an error in this question or solution?
Chapter 4: Elasticity of Demand - TEST YOURSELF QUESTIONS [Page 72]

RELATED QUESTIONS

Explain the problem of what to produce.


Any statement above demand for a good is considered complete only when the following is/are mentioned in it. ( choose the correct alternative)

a) Price of the good

b) Quantity of good

c) Period of time

d) All of the above


Demand for electricity is elastic.


Write whether the following statement is True or False:

Salt has elastic demand.


Demand for habitual commodity is ______.

 Distinguish between :

 Individual demand schedule and Market demand schedule.


Fill in the blank with appropriate alternatives given below:

Indirect demand is also known as _____________ demand.


State whether the following statement is TRUE and FALSE

Law of demand is explained by Prof. Robbins.


Give reason or explain the following statement.

Demand for factors of production is derived demand.


State whether the following statement is true or false. Give reasons for your answer :
X and Y are complementary goods. A fall in the price of Y will result in a rise in the price of X.


Which of the following points are related to the 'Paradox of Thrift'? 


Area under MC curve is equal to:


Which of the following statements is correct with respect to the correction of Excess Demand?


Read the following news report and answer the Q.97-Q.100 on the basis of the same:

The quantity of a commodity that a consumer is willing to buy and is able to afford, given the prices of goods and the consumer's tastes and preferences is called demand for the commodity. Whenever one or more of these variables change, the quantity of the good Chosen by the consumer is likely to change as well. The relation between the consumer's optimal choice of the quantity of a good and its price is very important and this relation is called the demand function. Thus, the consumer's demand function for a good gives the amount of the good that the consumer chooses at different levels of its price when the other things remain.

What is meant by the contraction of demand?


The demand curve of a firm under monopoly is ______


Which of the following is the reason behind the downward slope of demand option?


When the price of the commodity has changed the demand for the commodity changes in ______


Read the case study and answer the questions 97 to 100:

The Coca-Cola Company is an American multinational beverage company, with its headquarters in Atlanta, Georgia. The first company that conducted its operation in the soft drink industry was Coca-Cola. It is the world's largest non-alcoholic beverage company serving more than 1.8 billion consumers daily in more than 200 countries. It has a portfolio of more than 3,500 (more than 800 no or low-calorie) products. However, the company is best known for its flagship product Coca-Cola which was originally intended to be a patented medicine invented in 1886 by pharmacist John Smith Pemberton in Columbus, Georgia. The Coca-Cola products can be termed as normal goods and in August 2019 Coca-Cola introduced a new product into the market, that is, zero sugar where the demand has increased for the product in the market.

According to the council of the Australian Food Technology Association and Institute of Food Science and Technology, the Australian nonalcoholic beverages industry has been growing steadily, with a 2.3 percent increase in overall production in the year 2000 which amounts to 2.25 billion liters. However, in the re~ent years, sales of customary carbonated soft drinks have dropped as more and more customers become health conscious and move away from high-calorie sugary drinks. Soft Carbonated drinks. and other alcohol-free beverage manufacturers have also sensed the effects of intensifying competition from private-label soft drink makers. Nevertheless, sales of greater value energy and sports drinks have driven profit generation in the industry.

What has happened to the demand of zero sugar carbonated drinks?


Which of the following statements is true?


Share
Notifications

Englishहिंदीमराठी


      Forgot password?
Use app×