Chp-3B

Question 1

Price elasticity of demand on linear demand curve at X axis is

Answer 1

Zero

Question 2

Price elasticity of demand on a linear demand curve at y axis is equal to

Answer 2

Infinity

Question 3

Demand curve is parallel to x-axis in case of

Answer 3

Perfectly elastic demand

Question 4

When percentage change in quantity demanded is more than percentage change in price the demand curve is

Answer 4

Flatter

Question 5

Ed is equal to zero in case of

Answer 5

Necessities

Question 6

Degree of responsiveness of quality demanded to change in income only

Answer 6

Income elasticity of demand

Question 7

Degree of responsiveness of a change in quantity demanded of one commodity due to change in price of another commodity

Answer 7

Cross elasticity

Question 8

Degree of responsiveness of change of quantity demanded of a good to change in its price

Answer 8

Price elasticity of demand

Question 9

Elasticity resulting from infinite change in quantity demanded

Answer 9

Perfectly elasticity demand

Question 10

Classic City resulting from a proportionated change in quantity demanded due to proportionate change in price

Answer 10

Unitary elastic demand

Question 11

Perfect elastic demand:Ed=infinity :: ___ :Ed=0

Answer 11

Inelastic demand

Question 12

Straight line demand curve: linear demand curve::____ : nonlinear demand curve

Answer 12

Convert demand curve

Question 13

Pen and ink: ______ :: tea or coffee : substitutes

Answer 13

Complementary goods

Question 14

Ratio method: Ed = %△Q upon %△P :: _____ Lower segment upon Upper segment

Answer 14

Point method

Question 15

Rectangular hyperbola: ____________ : steeper demand curve: relatively in elastic demand

Answer 15

Unitary elastic demand