- Change in price caused by changes in demand
- The rate of change of sales
- The responsiveness of demand to price changes
- The value of sales at a given price
1 Answers
Call
Answer: Option 3
The price elasticity of demand measures the responsiveness of the quantity demanded to changes in the price. Demand is inelastic if it does not respond much to price changes, and elastic if demand changes a lot when the price changes. Necessities tend to have inelastic demand.
0
like
0 dislike
Talk Doctor Online in Bissoy App
When demand is perfectly inelastic, an increase in price will result in?
Answer: Option 2 When demand is perfectly inelastic, an increase in price will result in an increase in total revenue.
1 Answers 1 views
When cross elasticity of demand is a large positive number, one can conclude that?
Answer: Option 3 When cross elasticity of demand is a large positive number, one can conclude that the good is complement. Two goods that complement each other have a negative...
1 Answers 1 views
Identify the coefficient of price-elasticity of demand when the percentage increase in the quantity of a commodity demanded is smaller than the percentage fall in its price?
Answer: Option 3 The coefficient of price-elasticity of demand is smaller than one when the percentage increase in the quantity of a commodity demanded is smaller than the percentage fall...
1 Answers 2 views
When price elasticity of demand for normal goods is calculated, the value is always?
Answer: Option 2 When price elasticity of demand for normal goods is calculated, the value is always Negative. The PED is the percentage change in quantity demanded in response to...
1 Answers 1 views
When the price of a substitute of X commodity falls, the demand for X?
Answer: Option 2 When the price of a substitute of X commodity falls, the demand for X Falls.
1 Answers 1 views
When as a result of decrease in price of good, the total expenditure made on it decreases we say that price elasticity of demand is?
Answer: Option 1 When as a result of decrease in price of good, the total expenditure made on it decreases we say that price elasticity of demand is less than...
1 Answers 1 views
If elasticity of demand is very low, it shows that the commodity is?
Answer: Option 4 If elasticity of demand is very low, it shows that the commodity is necessity and has little importance in total budget.
1 Answers 1 views
Directions : In each of the following questions a statement is given, followed by two conclusions. Give answer : Statements : He stressed the need to stop the present examination system and its replacement by other methods which would measure the real merit of the students. Conclusions : I. Examinations should be abolished. II. The present examination system does not measure the real merit of the students.?
Answer: Option 2 The statement stresses the need to adopt a new method of examination. So, I does not follow. However, II directly follows from the given statement.
1 Answers 2 views
Direction : Two statements I and II are given. These statement may be either independent causes or may be effects of independent causes or a common cause. One of these statements may be the effect of the other statements. Read both the statements and decide which of the following answer choice correctly depicts the relationship between these two statements. Mark answer : I. India has surpassed the value of tea exports this year over all the earlier years due to an increase in demand for quality tea in the European market. II. There is an increase in demand of coffee in the domestic market during the last two years.?
Answer: Option 3 The two statements discuss two separate statistical and generalised results.
1 Answers 1 views