Advertisements
Advertisements
प्रश्न
Price elasticity of demand shows:
पर्याय
Response of demand to change in price
Response of price to change in demand
Degree of response of price to change in demand
Degree of response of demand to change in price
उत्तर
Degree of response of demand to change in price
APPEARS IN
संबंधित प्रश्न
Give economic terms:
Degree of responsiveness of a change of quantity demanded of a good to a change in its price.
Statements that are related to cross elasticity of demand:
- Change in quantity demanded of one commodity due to a change in the price of other commodity
- It is a type of elasticity of demand.
- It is applicable to complementary goods and substitutes.
- It is expressed as Ey = % ΔQ / %ΔY
Distinguish Between
Price elasticity of demand and Income elasticity of demand
Assertion (A): A change in quantity demanded of one commodity due to a change in the price of other commodity is cross elasticity.
Reasoning (R): Changes in consumers income leads to a change in the quantity demanded.
Define income elasticity of demand.
Assertion (A) : A change in quantity demanded of one commodity due to a change in the price of other commodity is cross elasticity.
Reasoning (R) : Changes in consumers income leads to a change in the quantity demanded.
Assertion (A): A change in quantity demanded of one commodity due to a change in the price of other commodity is cross elasticity.
Reasoning (R): Changes in consumers income leads to a change in the quantity demanded.
Calculate elasticity of demand on the basis of the following data.
| Price (Rs.) | Quantity (Kg) |
| 10 | 20 |
| 20 | 15 |
- Calculate the elasticity of demand.
- Is the demand elastic or inelastic?
Why is price elasticity of demand negative?
What is meant by cross elasticity of demand?
