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.
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
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.
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
Description : Elasticity (e) expressed by the formula 1 > e > 0 is - (1) Perfectly elastic (2) Relatively elastic (3) Perfectly inelastic (4) Relatively inelastic
Last Answer : (4) Relatively inelastic Explanation: Elasticity (e) expressed by the formula 1 > e > 0 is relatively inelastic. Elasticity is responsiveness of one variable to a change in another, when other conditions are held constant.
Description : Elasticity (e) expressed by the formula l > e > 0 is (1) Perfectly elastic (2) Relatively elastic (3) Perfectly inelastic (4) Relatively inelastic
Last Answer : Relatively inelastic
Description : An increase in aggregate demand is more likely to lead to demand pull inflation (a) If aggregate supply is completely elastic (b) If aggregate supply is completely inelastic © If aggregate supply is unitary elastic (d) If aggregate supply is moderately elastic
Last Answer : (b) If aggregate supply is completely inelastic
Description : If elasticity of demand is perfectly inelastic, then burden of tax will be on (a) Buyer (b) Seller (c) on both (a) and (b) (d) More on seller
Last Answer : (a) Buyer
Description : The demand for necessities is - (1) elastic (2) perfectly inelastic (3) inelastic (4) perfectly elastic
Last Answer : (2) perfectly inelastic Explanation: Inelastic demand means that if the price changes, the quantity demanded will not change much. The more necessary a good is, the lower the elasticity, as people ... it no matter the price. Necessities such as water are likely to have perfectly inelastic demand.
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.
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.
Description : The demand for necessities is (1) elastic (2) perfectly inelastic (3) inelastic (4) perfectly elastic
Last Answer : 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
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
Description : The tendency of a deformed solid to regain its actual proportions instantly upon unloading known as ______________ a) Perfectly elastic b) Delayed elasticity c) Inelastic effect d) Plasticity
Last Answer : a) Perfectly elastic
Description : Very short period is the market condition where the supply remain perfectly (a) Elastic ; (b) Inelastic ; (c) Unity elastic ; (d) Elasticity less than 1
Last Answer : (b) Inelastic ;
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 ;
Description : If price of X falls leading to fall in total outlay on X, the demand of X is (a) Elastic ; (b) Inelastic ; (c) Unitary elastic ; (d) Less than unit elastic
Description : If price of X falls leading to increase in total outlay on X, the demand of X is (a) Elastic ; (b) Inelastic ; (c) Unitary elastic ; (d) Less than unit elastic
Description : If price of sugar fills leading to fall in total outlay on sugar, the demand of sugar is (a) Elastic ; (b) Inelastic ; (c) Unitary elastic ; (d) Less than unit elastic
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
Description : If the consumption of a product can be postponed for the time being (a) The demand for the product will be inelastic (b) The demand for the product will be relatively elastic (c) The demand for the product will be perfectly elastic (d) The demand for the product will be perfectly inelastic
Last Answer : (b) The demand for the product will be relatively elastic
Description : Economic rent does not arise when the supply of a factor unit is - (1) Perfectly inelastic (2) Perfectly elastic (3) Relatively elastic (4) Relatively inelastic
Last Answer : (2) Perfectly elastic Explanation: Economic rent in the sense of surplus over transfer earnings arise when the supply of the factor units is less than perfectly elastic or not perfectly elastic. When ... , at a given price or remuneration, the entrepreneur can engage any number of factor units.
Description : Any factor of production can earn economic-rent, when its supply will be - (1) Perfectly elastic (2) Perfectly inelastic (3) Elastic in nature (4) All of the above
Last Answer : (2) Perfectly inelastic Explanation: Economic rent is the revenue that can be earned from the land or other natural resource for which there is a fixed supply - as economists like to say, the supply ... inelastic, the amount of its supply does not depend on any income that the resource can produce.
Description : Any factor of production can earn economic-rent, when its supply will be (1) Perfectly elastic (2) Perfectly inelastic (3) Elastic in nature (4) All of the above
Last Answer : Perfectly inelastic
Description : Economic rent does not arise when the supply of a factor unit is (1) Perfectly inelastic (2) Perfectly elastic (3) Relatively elastic (4) Relatively inelastic
Last Answer : Perfectly elastic
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
Description : Perfectly inelastic demand is equal to : (1) One (2) Infinite (3) Zero (4) Greater than one
Last Answer : (3) Zero Explanation: Price Elasticity of Demand is a measure of the relationship between a change in the quantity demanded of a particular good and a change in its price. It measures the responsiveness of ... to 0, demand is perfectly inelastic (i.e., demand does not change when price changes).
Description : Perfectly inelastic demand is equal to : (1) One (2)Infinite (3) Zero (4)Greater than one
Last Answer : Zero
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.
Description : In case of horizontal demand curve , price elasticity of demand is (a) equal to zero (b) equal to one © equal to two (d) infinite
Last Answer : (a) equal to zero
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
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
Description : When marketers at The Honey Company tried to determine demand for their product, they found that at 50 pence, consumers wanted 2,000 jars; at £1.00, they wanted 6,000 jars; and at £1.50 they wanted 4, ... curve. B)It has an elastic product. C)It has an inelastic product. D)Honey is a prestige good.
Last Answer : D)Honey is a prestige good.
Description : In case of Complementary goods cross elasticity of demand will be (a) Negative (b) Zero (c) Unitary (d) Infinite
Last Answer : (a) Negative
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
Description : Define coefficient of restitution and obtain its value for an elastic collision and a perfectly inelastic collision.
Last Answer : Define coefficient of restitution and obtain its value for an elastic collision and a perfectly inelastic collision.
Description : Kinetic theory of gases assumes that the collisions between the molecules are (a) perfectly elastic (b) perfectly inelastic (c) partly elastic (d) partly inelastic (e) partly elastic and partly inelastic.
Last Answer : Answer : a
Description : The demand curve of a Monopoly firm is – (a) Same that of a firm in a perfect competition ; (b) Same as that of the total market demand; (c) Non-exist ; (d) Perfectly elastic
Last Answer : (b) Same as that of the total market demand;
Description : The bowed shape of the production possibilities curve illustrates: a. the law of increasing marginal cost b. that production is inefficient c. that production is unattainable d. the demand is relatively inelastic
Last Answer : a. the law of increasing marginal cost
Description : Price elasticity of demand of a product will be more inelastic if (a) It forms a major part of consumer house hold budget; (b) It forms a very small part of consumers household budget; (c) It is inferior ; (d) It is for mass consumption
Last Answer : (b) It forms a very small part of consumers household budget;
Description : When cost of production is zero, monopoly equilibrium will be established at a level where elasticity of demand curve is : (a) Greater than one (b) Equal to one (c) Less than one (d) Infinity
Last Answer : Equal to one
Description : Is the demand for higher education income elastic income inelastic or neither?
Last Answer : It is likely "income elastic" because the reverse is true: thenumber of people seeking higher education can decrease when thecost of that education goes up (unaffordable). So with ... applicants. This has definitely occurred duringperiods when government grants covered all or part of theexpense.
Description : The demand for many industrial products for which a price increase or decrease will not significantly affect the demand is 1. elastic 2. inelastic 3. derived 4. joint 5. none of these
Last Answer : inelastic
Description : A penetration-pricing policy is particularly appropriate when demand is: A)increasing. B)highly elastic. C)highly inelastic. D)decreasing.
Last Answer : B)highly elastic.
Description : The demand for many industrial products for which a price increase or decrease will not significantly affect the demand is: A)elastic B)inelastic C)derived D)joint
Last Answer : B)inelastic
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 : (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 ... However, the unit price elastic demand curve does not touch either price axis or 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
Description : A ball A of mass 0.25 kg moving on a smooth horizontal table with a velocity of 10 m/s strikes an identical stationary ball B on the table. If the impact is perfectly elastic, the velocity of the ball B just after the impact will be a.2.5 m/s b.zero c.5 m/s d.10 m/s e.107 dynes
Last Answer : c. 5 m/s
Description : A perfectly elastic supply curve will be (a) Parallel to Y axis or a vertical line ; (b) Parallel to X axis; (c) U shaped ; (d) Downward sloping
Last Answer : the aggregate demand curve