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प्रश्न
If demand increases by 50% due to an increase in price by 75%, calculate the price elasticity of demand.
पर्याय
0.25
0.67
1.50
0.75
उत्तर
0.67
Explanation:
The price elasticity of demand (PED) measures the responsiveness of the quantity demanded of a good to a change in its price.
It is calculated using the formula:
`"Price Elasticity of Demand (PED)" = "Percentage Change in Quantity Demanded" / "Percentage Change in Price"`
Given
Percentage change in quantity demanded = +50%
Percentage change in price = +75%
PED = `(+50%)/(+75%)`
`= 50/75`
= 0.67
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संबंधित प्रश्न
Complete the correlation:
Ratio method: Ed = `(%\Delta"Q")/(%\Delta"P")`:: ______ : Ed = `("Lower segment")/("Upper segment")`
Complete the correlation:
Ratio method : Ed = `(%ΔQ)/(%ΔP)` :: ______ : Ed = `"Lower segment"/"Upper segment"`
Complete the correlation:
Ratio method : Ed = `(%ΔQ)/(%ΔP)` : : ______ : Ed = `("Lower segment")/("Upper segment")`
The coefficient of price elasticity of a good is 0.8, its demand will said to be ______.
Assertion (A): Suppose that a 2 per cent drop in the price of chocolate causes a 2 per cent increase in quantity demanded. This case is termed unit elasticity.
Reason (R): In this example, Ed is exactly 1 (or unity). Ed = `2/2=1`
Select the commodities from the following which have inelastic demand:
When % change in demand is greater than % change in price, it is a case of inelastic demand. Write true or false. Give reason.
With the help of a diagram, explain the condition when EP < 1.
Give two examples of unitary elastic demand.
Arrange the following coefficients of price elasticity of demand in ascending order.
−0.87, −0.53, −31 , −0.80
