A unit price elastic demand curve will touch - (1) both price and quantity axis (2) neither price axis, nor quantity axis (3) only price axis (4) only quantity axis

A unit price elastic demand curve will touch - (1) both price and quantity axis (2) neither price axis, nor quantity axis (3) only price axis (4) only quantity axis
by

1 Answer

Answer :

(2) neither price axis, nor quantity axis Explanation: Unit elastic refers to an elasticity alternative in which any percentage change in price cause an equal percentage change in quantity. In other words, any change in price, whether big or small, triggers exactly the same percentage change in quantity. However, the unit price elastic demand curve does not touch either price axis or quantity axis.
by
selected

Related questions

A unit price elastic demand curve will touch (1) both price and quantity axis (2) neither price axis, nor quantity axis (3) only price axis (4) only quantity axis

Description : A unit price elastic demand curve will touch (1) both price and quantity axis (2) neither price axis, nor quantity axis (3) only price axis (4) only quantity axis

Last Answer : neither price axis, nor quantity axis

A demand curve, which is parallel to the horizontal axis, showing quantity, has the price elasticity equal to - (1) Zero (2) One (3) Less than one (4) Infinity

Description : A demand curve, which is parallel to the horizontal axis, showing quantity, has the price elasticity equal to - (1) Zero (2) One (3) Less than one (4) Infinity

Last Answer : (4) Infinity Explanation: Price elasticity of demand measures consumer response to price changes. If consumers are relatively sensitive to price changes, demand is elastic: if they are relatively ... keeps changing with the price. So the coefficient of price elasticity of demand is infinity.

The demand curve for a Giffen good is (1) upward rising (2) downward falling (3) parallel to the quantity axis (4) parallel to the price axis

Description : The demand curve for a Giffen good is (1) upward rising (2) downward falling (3) parallel to the quantity axis (4) parallel to the price axis

Last Answer : (1) upward rising Explanation: A Giffen good is a good whose consumption in-creases as its price increases. (For a normal good, as the price increases, consumption decreases.) Thus, the ... a price changes the income effect outweighs the substitution effect and this leads to perverse demand curve.

A demand curve, which is parallel to the horizontal axis, showing quantity, has the price elasticity equal to (1) Zero (2) One (3) Less than one (4) Infinity

Description : A demand curve, which is parallel to the horizontal axis, showing quantity, has the price elasticity equal to (1) Zero (2) One (3) Less than one (4) Infinity

Last Answer : Infinity

The demand curve for a Giffen good is (1) upward rising (2) downward falling (3) parallel to the quantity axis (4) parallel to the price axis

Description : The demand curve for a Giffen good is (1) upward rising (2) downward falling (3) parallel to the quantity axis (4) parallel to the price axis 

Last Answer : upward rising

Demand curve can be derived from the law of diminishlng marginal utility on which of the following assumptions? (i) Utility can be measured in quantitative terms (ii) Utility of money is constant Of these statements: A.Only (i) is true B.Both (i) and (ii) are true C.Only (ii) is true D.Neither (i) nor (ii) is true

Description : Demand curve can be derived from the law of diminishlng marginal utility on which of the following assumptions? (i) Utility can be measured in quantitative terms (ii) Utility of money is constant Of these statements: A.Only ... ) and (ii) are true C.Only (ii) is true D.Neither (i) nor (ii) is true

Last Answer : B.Both (i) and (ii) are true

If the demand curve confronting an individual firm is perfectly elastic, then firm is A.Price taker B.Adjust output C.Adjust priceD.All of theseAnswer Repor

Description : If the demand curve confronting an individual firm is perfectly elastic, then firm is A.Price taker B.Adjust output C.Adjust price D.All of these Answer Repor

Last Answer : A.Price taker

If total revenue rises when price falls, the demand curve is (a) Elastic (b) Unitary elastic (c) Inelastic (d) None of the above

Description : If total revenue rises when price falls, the demand curve is (a) Elastic (b) Unitary elastic (c) Inelastic (d) None of the above

Last Answer : (a) Elastic

The demand curve shows that price and quantity demanded are - (1) directly related only (2) directly proportional and also directly related (3) inversely proportional and aslo inversely related (4) inversely related only

Description : The demand curve shows that price and quantity demanded are - (1) directly related only (2) directly proportional and also directly related (3) inversely proportional and aslo inversely related (4) inversely related only

Last Answer : (3) inversely proportional and aslo inversely related Explanation: Law of demand states that consumers buy more of a good when its price is lower and less when its price is higher. It states that ... good demanded by the consumer will be negatively correlated to the change in the price of the good.

The demand curve shows that price and quantity demanded are (1) directly related only (2) directly proportional and also directly related (3) inversely proportional and aslo inversely related (4) inversely related only

Description : The demand curve shows that price and quantity demanded are (1) directly related only (2) directly proportional and also directly related (3) inversely proportional and aslo inversely related (4) inversely related only

Last Answer :  inversely proportional and aslo inversely related

Under increasing returns the supply curve is - (1) positively sloped from is to right (2) negatively sloped from left to right (3) parallel to the quantity-axis (4) parallel to the price -axis

Description : Under increasing returns the supply curve is - (1) positively sloped from is to right (2) negatively sloped from left to right (3) parallel to the quantity-axis (4) parallel to the price -axis

Last Answer : (1) positively sloped from is to right Explanation: Supply curve, in economics, is a graphic representation of the relationship between product price and quantity of product that a seller is willing and ... i.e as the price of a commodity increases in the market, the amount supplied increases).

Under increasing returns the supply curve is (1) positively sloped from left to right (2) negatively sloped from left to right (3) parallel to the quantity-axis (4) parallel to the price -axis

Description : Under increasing returns the supply curve is (1) positively sloped from left to right (2) negatively sloped from left to right (3) parallel to the quantity-axis (4) parallel to the price -axis

Last Answer : positively sloped from left to right

Name the curve which shows the quantity of products a seller wishes to sell at a given price level. (1) Demand curve (2) Cost curve (3) Supply curve (4) None of these

Description : Name the curve which shows the quantity of products a seller wishes to sell at a given price level. (1) Demand curve (2) Cost curve (3) Supply curve (4) None of these

Last Answer : (3) Supply curve Explanation: The supply curve shows the relationship between the price of a good and the quantity supplied, holding constant the values of all other variables that affect supply. Each point on the curve shows the quantity that sellers would choose to sell at a specific price.

When there is a change in demand leading to a shift of the Demand Curve to the right, at the same price as before, the quantity demanded will - (1) decrease (2) increase (3) remain the same (4) contract

Description : When there is a change in demand leading to a shift of the Demand Curve to the right, at the same price as before, the quantity demanded will - (1) decrease (2) increase (3) remain the same (4) contract

Last Answer : (2) increase Explanation: In economics, the demand curve is the graph depicting the relationship between the price of a certain commodity and the amount of it that consumers are willing and able to ... is movement along a demand curve when a change in price causes the quantity demanded to change.

An increase in product price will cause (a) quantity demanded to decrease (b) quantity supplied to decrease © quantity demanded to increase (d) the demand curve to shift to the left

Description : An increase in product price will cause (a) quantity demanded to decrease (b) quantity supplied to decrease © quantity demanded to increase (d) the demand curve to shift to the left

Last Answer : (a) quantity demanded to decrease

Demand curve remaining the same, if the supply curve shifts to the right then (a) Price and quantity move in the same direction (b) Price and quantity move in the opposite direction © Price and quantity remain unchanged (d) None of the above.

Description : Demand curve remaining the same, if the supply curve shifts to the right then (a) Price and quantity move in the same direction (b) Price and quantity move in the opposite direction © Price and quantity remain unchanged (d) None of the above.

Last Answer : (b) Price and quantity move in the opposite direction

Name the curve which shows the quantity of products a seller wishes to sell at a given price level. (1) Demand curve (2) Cost curve (3) Supply curve (4) None of these

Description : Name the curve which shows the quantity of products a seller wishes to sell at a given price level. (1) Demand curve (2) Cost curve (3) Supply curve (4) None of these

Last Answer :  Supply curve

When there is a change in demand leading to a shift of the Demand Curve to the right, at the same price as before, the quantity demanded will (1) decrease (2) increase (3) remain the same (4) contract

Description : When there is a change in demand leading to a shift of the Demand Curve to the right, at the same price as before, the quantity demanded will (1) decrease (2) increase (3) remain the same (4) contract

Last Answer : increase

A horizontal demand curve is - (1) relatively elastic (2) perfectly inelastic (3) perfectly elastic (4) of unitary elasticity

Description : A horizontal demand curve is - (1) relatively elastic (2) perfectly inelastic (3) perfectly elastic (4) of unitary elasticity

Last Answer : (3) perfectly elastic Explanation: The demand curve facing a perfectly competitive firm is flat or horizontal. This is because all firms in perfect competition are by definition selling an identical (homogeneous) ... of the curve is zero, it is impossible for the price to change in the market.

The demand curve facing a perfectly competitive firm is - (1) downward sloping (2) perfectly inelastic (3) a concave curve (4) perfectly elastic

Description : The demand curve facing a perfectly competitive firm is - (1) downward sloping (2) perfectly inelastic (3) a concave curve (4) perfectly elastic

Last Answer : (4) perfectly elastic Explanation: A perfectly competitive industry is comprised of a. large number of relatively small firms that sell identical products. Each perfectly competitive firm is so small ... at the going market price. This translates into a horizontal or perfectly elastic demand curve.

The upper portion of the kinked demand curve is relatively A.More inelastic B.More elastic C.Less elastic D.Inelastic

Description : The upper portion of the kinked demand curve is relatively A.More inelastic B.More elastic C.Less elastic D.Inelastic

Last Answer : B.More elastic

The demand curve facing a perfectly competitive firm is (1) downward sloping (2) perfectly inelastic (3) a concave curve (4) perfectly elastic

Description : The demand curve facing a perfectly competitive firm is (1) downward sloping (2) perfectly inelastic (3) a concave curve (4) perfectly elastic

Last Answer :  perfectly elastic

A horizontal demand curve is (1) ralatively elastic (2) perfectly inelastic (3) perfectly elastic (4) of unitary elasticity

Description : A horizontal demand curve is (1) ralatively elastic (2) perfectly inelastic (3) perfectly elastic (4) of unitary elasticity

Last Answer : perfectly elastic

In a pure market economy, which of the following is a function of the price? I. provide information to sellers and buyers , II. provide incentives to sellers and buyers a. I only b. II only c. both I and II d. neither I nor II

Description : In a pure market economy, which of the following is a function of the price? I. provide information to sellers and buyers , II. provide incentives to sellers and buyers a. I only b. II only c. both I and II d. neither I nor II

Last Answer : c. both I and II

The amount of steam required per unit quantity of distillate in case of steam distillation will be reduced by (A) Raising the temperature (B) Lowering the total pressure (C) Both (A) and (B) (D) Neither (A) nor (B)

Description : The amount of steam required per unit quantity of distillate in case of steam distillation will be reduced by (A) Raising the temperature (B) Lowering the total pressure (C) Both (A) and (B) (D) Neither (A) nor (B)

Last Answer : (C) Both (A) and (B

With what type of products would you expect demand to increase as price falls? A)Prestige products B)Products with elastic demand C)Products with inelastic demand D)Products with an inverted C -shaped demand curve

Description : With what type of products would you expect demand to increase as price falls? A)Prestige products B)Products with elastic demand C)Products with inelastic demand D)Products with an inverted shaped demand curve

Last Answer : D)Products with elastic demand

Which of the following occurs when labour productivity rises? (1) The equilibrium nominal wage falls. (2) The equilibrium quantity of labour falls. (3) Competitive firms will be induced to use more capital (4) The labour demand curve shifts to the right

Description : Which of the following occurs when labour productivity rises? (1) The equilibrium nominal wage falls. (2) The equilibrium quantity of labour falls. (3) Competitive firms will be induced to use more capital (4) The labour demand curve shifts to the right

Last Answer : (4) The labour demand curve shifts to the right Explanation: As labour productivity increases, the production function shifts up and simultaneously the labor demand curve shifts out and right. At ... , the production function shifts up and simultaneously the labor demand curve shifts out and right.

Which of the following occurs when labour productivity rises ? (1) The equilibrium nominal wage falls. (2) The equilibrium quantity of labour falls. (3) Competitive firms will be induced to use more capital (4) The labour demand curve shifts to the right

Description : Which of the following occurs when labour productivity rises ? (1) The equilibrium nominal wage falls. (2) The equilibrium quantity of labour falls. (3) Competitive firms will be induced to use more capital (4) The labour demand curve shifts to the right

Last Answer : The labour demand curve shifts to the right

Demand curve of a firm under perfect competition is : (1) horizontal to ox-axis (2) negatively sloped (3) positively sloped (4) U - shaped

Description : Demand curve of a firm under perfect competition is : (1) horizontal to ox-axis (2) negatively sloped (3) positively sloped (4) U - shaped

Last Answer : (1) horizontal to ox-axis Explanation: Under Perfect Competition, the firm faces a horizontal demand curve. It can sell any quantity desired at the market price, but cannot sell anything above the market price.

Demand curve of a firm under perfect competition is : (1) horizontal to ox-axis (2) negatively sloped (3) positively sloped (4) U – shaped

Description : Demand curve of a firm under perfect competition is : (1) horizontal to ox-axis (2) negatively sloped (3) positively sloped (4) U – shaped

Last Answer : horizontal to ox-axis

Consider the following statements: 1. A flute of smaller length produces waves of lower frequency. 2. Sound travels in rocks in the form of longitudinal elastic waves only. Which of the statements given above is/are correct? (a) 1 only (b) 2 only (c) Both 1 and 2 (d) Neither 1 nor 2

Description : Consider the following statements: 1. A flute of smaller length produces waves of lower frequency. 2. Sound travels in rocks in the form of longitudinal elastic waves only. Which of the statements given above is/are correct? (a) 1 only (b) 2 only (c) Both 1 and 2 (d) Neither 1 nor 2

Last Answer : Ans:(d)

In elastic collisions, A. only the total momentum of the colliding objects is conserved. B. only the total kinetic energy is conserved. C. both of the momentum and total kinetic energy are conserved. D. neither momentum of the colliding bodies nor the total kinetic energy are recoverable.

Description : In elastic collisions, A. only the total momentum of the colliding objects is conserved. B. only the total kinetic energy is conserved. C. both of the momentum and total kinetic energy ... D. neither momentum of the colliding bodies nor the total kinetic energy are recoverable.

Last Answer : both of the momentum and total kinetic energy are conserved.

Change in quantity demanded or Movement along demand curve occurs due (a) Due to change in price only ; (b) Change in Cetris paribus conditions only ; (c) Change in cost of production ; (d) Change in technology

Description : Change in quantity demanded or Movement along demand curve occurs due (a) Due to change in price only ; (b) Change in Cetris paribus conditions only ; (c) Change in cost of production ; (d) Change in technology

Last Answer : (a) Due to change in price only ;

Marginal Propensity to Consume is (a) Increase in consumption due to one unit increase in income. (b) Total consumption divided by total income. © Both (a) and (b). (d) Neither (a) nor (b).

Description : Marginal Propensity to Consume is (a) Increase in consumption due to one unit increase in income. (b) Total consumption divided by total income. © Both (a) and (b). (d) Neither (a) nor (b).

Last Answer : (a) Increase in consumption due to one unit increase in income.

If the change in demand for a commodity is at a faster rate than change in the price of the commodity, the demand is - (1) perfectly inelastic (2) elastic (3) perfectly elastic (4) inelastic

Description : If the change in demand for a commodity is at a faster rate than change in the price of the commodity, the demand is - (1) perfectly inelastic (2) elastic (3) perfectly elastic (4) inelastic

Last Answer : (3) perfectly elastic Explanation: If quantity demanded changes by a very large percentage as a result of a tiny percentage change in price, then the demand is said to be perfectly elastic ... in this extreme case would be undefined but it approaches negative infinity as demand becomes more elastic.

)When percentage change in demand for a commodity is less than percentage change in its price, then demand is said to be - (1) Highly elastic (2) Inelastic (3) Relatively elastic (4) Perfectly inelastic

Description : )When percentage change in demand for a commodity is less than percentage change in its price, then demand is said to be - (1) Highly elastic (2) Inelastic (3) Relatively elastic (4) Perfectly inelastic

Last Answer : (2) Inelastic Explanation: When the percentage change in quantity demanded is less than the percentage change in price, then the demand for the commodity is said to be inelastic. Price elasticity of demand refers to the degree of responsiveness of quantity demanded to change in price.

In price discrimination, which section of the market is charged the higherprice?a. the section with the richest peopleb. the section with the oldest peoplec. the section with the most inelastic demandd. the section with the most elastic demand

Description : In price discrimination, which section of the market is charged the higherprice? a. the section with the richest people b. the section with the oldest people c. the section with the most inelastic demand d. the section with the most elastic demand

Last Answer : c. the section with the most inelastic demand

When percentage change in demand for a commodity is less than percentage change in its price, then demand is said to be (1) Highly elastic (2) Inelastic (3) Relatively elastic (4) Perfectly inelastic

Description : When percentage change in demand for a commodity is less than percentage change in its price, then demand is said to be (1) Highly elastic (2) Inelastic (3) Relatively elastic (4) Perfectly inelastic

Last Answer : Inelastic

If the change in demand for a commodity is at a faster rate than change in the price of the commodity, the demand is (1) perfectly inelastic (2) elastic (3) perlectly elastic (4) inelastic

Description : If the change in demand for a commodity is at a faster rate than change in the price of the commodity, the demand is (1) perfectly inelastic (2) elastic (3) perlectly elastic (4) inelastic

Last Answer : perlectly elastic

A demand curve will not shift: (1) When only income changes (2) When only prices of substitute products change (3) When there is a change in advertisement expenditure (4) When only price of the commodity changes

Description : A demand curve will not shift: (1) When only income changes (2) When only prices of substitute products change (3) When there is a change in advertisement expenditure (4) When only price of the commodity changes

Last Answer : (4) When only price of the commodity changes Explanation: In economics, the demand curve is the graph depicting the relationship between the price of a certain commodity and the amount of it that ... only when there is a change in other determinants of demand, other than price of the commodity.

A demand curve will not shift: (1) When only income changes (2) When only prices of substitute products change (3) When there is a change in advertisement expenditure (4) When only price of the commodity changes

Description : A demand curve will not shift: (1) When only income changes (2) When only prices of substitute products change (3) When there is a change in advertisement expenditure (4) When only price of the commodity changes

Last Answer : When only price of the commodity changes

If Wilson Sporting Goods faces the classic demand curve characteristic for most products, as it raises the price of its tennis rackets, the: A)quantity demand goes down. B)demand remains constant. C)quantity demands increases.

Description : If Wilson Sporting Goods faces the classic demand curve characteristic for most products, as it raises the price of its tennis rackets, the: A)quantity demand goes down. B)demand remains constant. C)quantity demands increases.

Last Answer : A)quantity demand goes down.

At a given time and in a given marketplace, the entire market demand curve indicates the (a) quantity of a good consumers would be willing and able to purchase at a given price. (b) quantity of a good consumers would be able to purchase at a series of prices. (c) quantity of a good consumers want to purchase at a given price (d) quantity of a good consumers have purchased at a series of prices over the year.

Description : At a given time and in a given marketplace, the entire market demand curve indicates the (a) quantity of a good consumers would be willing and able to purchase at a given price. (b) quantity of a ... a given price (d) quantity of a good consumers have purchased at a series of prices over the year.

Last Answer : (b) quantity of a good consumers would be able to purchase at a series of prices. 

If price of Choco bar decreases we except (a) The quantity demanded to increase ; (b) Quantity demanded to decrease; (c) Demand curve to shift left ; (d) No change in quantity demanded

Description : If price of Choco bar decreases we except (a) The quantity demanded to increase ; (b) Quantity demanded to decrease; (c) Demand curve to shift left ; (d) No change in quantity demanded

Last Answer : (a) The quantity demanded to increase ; 

Change in price of the goods cause (a) Change in quantity demanded ; (b) Shift in demand curve ; (c) Change in price; (d) No effect on quantity demanded

Description : Change in price of the goods cause (a) Change in quantity demanded ; (b) Shift in demand curve ; (c) Change in price; (d) No effect on quantity demanded 

Last Answer : (a) Change in quantity demanded ;

Change in consumers tastes and preference causes – of the particular goods (a) Change in quantity demanded ; (b) Shift in demand curve ; (c) Change in price ; (d) No effect on quantity demanded

Description : Change in consumers tastes and preference causes – of the particular goods (a) Change in quantity demanded ; (b) Shift in demand curve ; (c) Change in price ; (d) No effect on quantity demanded

Last Answer : (b) Shift in demand curve ;

The individual demand and supply curve of a product are Dx = 12-2px, Sx=3+5px, where Px stand for price and Dx and Sc respectively stands for quantity demanded and quantity supplie(d) If there are 5000 consumers and 1000 suppliers for the product under question. What will be the equilibrium price (a) `4 ; (b) `5 ; (c) `3 ; (d) `4.5

Description : The individual demand and supply curve of a product are Dx = 12-2px, Sx=3+5px, where Px stand for price and Dx and Sc respectively stands for quantity demanded and quantity supplie(d) If there are 5000 consumers and 1000 suppliers ... be the equilibrium price (a) `4 ; (b) `5 ; (c) `3 ; (d) `4.5

Last Answer : ; (c) `3 ;

Demand curve of an Oligopoly firm is characterized by (a) Horizontal to X axis ; (b) Kink at the price ; (c) U shaped curve ; (d) A liner line

Description : Demand curve of an Oligopoly firm is characterized by (a) Horizontal to X axis ; (b) Kink at the price ; (c) U shaped curve ; (d) A liner line

Last Answer : (b) Kink at the price ;

Work done upon a body ______. (1) only a vector quantity (2) only a scalar quantity (3) both vector and scalar (4) neither vector nor scalar

Description : Work done upon a body ______. (1) only a vector quantity (2) only a scalar quantity (3) both vector and scalar (4) neither vector nor scalar

Last Answer : (2) only a scalar quantity

If price of coffee falls leading to increase in total outlay on coffee, the demand of coffee is (a) Elastic ; (b) Inelastic ; (c) Unitary elastic ; (d) Less than unit elastic

Description : If price of coffee falls leading to increase in total outlay on coffee, the demand of coffee is (a) Elastic ; (b) Inelastic ; (c) Unitary elastic ; (d) Less than unit elastic 

Last Answer : (a) Elastic ;