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Question
Fill in the blanks with appropriate alternatives given in the bracket.
Demand elasticity can be measured from demand curve by ___________ method.
Options
1.Total outlay
2.Percentage
3.Geometric
4.Mathematical
Solution
Demand elasticity can be measured from demand curve by geometric method.
Explanation:
Geometric method is also called point method of measuring elasticity. Under this method, elasticity is measured at different points on a demand curve.
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