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प्रश्न
When change in price is greater than the change in quantity demand it is a case of elastic demand.
पर्याय
True
False
उत्तर
This statement is False.
Explanation:
When the price change is greater than the change in quantity demanded, it is a case of inelastic demand, not elastic demand. Inelastic demand means that the quantity demanded is relatively unresponsive to changes in price. Elastic demand occurs when the percentage change in quantity demanded is greater than in price.
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संबंधित प्रश्न
Explain the factors determining the elasticity of demand.
Discuss any four factors affecting price elasticity of demand.
A consumer spends Rs 400 on a good priced at Rs 4 per unit. When the price rises by 25 percent, the consumer continues to spend Rs 400. Calculate the price elasticity of demand by percentage method.
What is the elasticity of demand?
What do you mean by a normal good?
Consider the demand curve D(p) = 10 − 3p. What is the elasticity at price `5/3` ?
Give reason or explain the following statement:
Concept of Elasticity of Demand helps trade union leaders.
Give an economic term:
Elasticity resulting from a proportionate change in quantity demanded due to a proportionate change in price.
What are the degrees of price elasticity of Demand?
When is the demand for a good said to be elastic?
