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प्रश्न
Identify the type of goods having price elasticity of demand greater than 1:
विकल्प
Luxury goods
Inferior goods
Necessary goods
Giffen goods
उत्तर
Luxury goods
Explanation:
The price elasticity of demand for luxury products is greater than 1 because the percentage change in demand exceeds the percentage change in price of luxury items.
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संबंधित प्रश्न
Assertion (A): The recent war in Israel will impact key imports to India, which include rough cut and polished diamonds.
Reasoning (R): Diamonds are luxury goods having relatively elastic demand.
Which is the implication of a horizontal demand curve?
The demand curve is vertical
What will be the value of price elasticity in this case?
Match the following:
| Column I | Column II |
| A. Perfectly Elastic | (i) Ed = 0 |
| B. Perfectly Inelastic | (ii) Ed = infinity |
| C. Highly Elastic | (iii) Ed < I |
| D. Less Elastic | (iv) Ed > I |
When is the demand for a commodity said to be perfectly inelastic?
Would the elasticity of demand in the following case be unity, less than unity or greater than unity?
A fall in the price of a commodity increases total expenditure.
Would the elasticity of demand in the following case be unity, less than unity or greater than unity?
A fall in the price of commodity, the total expenditure remains the same.
Draw a diagram showing a perfectly elastic demand curve.
When is the demand of a commodity said to be inelastic?
Explain the different types of price elasticity of demand.
