ECONOMICS
DEMAND
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
|
|
revenue
|
|
|
schedule
|
|
|
utility
|
|
|
elasticity
|
Detailed explanation-1: -The relationship between the quantity demanded and the price is known as the demand curve, or simply the demand. The degree to which the quantity demanded changes with respect to price is called the elasticity of demand.
Detailed explanation-2: -The price elasticity of demand is the percentage change in the quantity demanded of a good or service divided by the percentage change in the price. The price elasticity of supply is the percentage change in quantity supplied divided by the percentage change in price.
Detailed explanation-3: -∴ Cross elasticity of demand is the degree of responsiveness of the demand for a commodity to a change in its price.
Detailed explanation-4: -Price elasticity of demand is a measurement of the change in the consumption of a product in relation to a change in its price. Expressed mathematically, it is: Price Elasticity of Demand = Percentage Change in Quantity Demanded ÷ Percentage Change in Price.
Detailed explanation-5: -The measure of responsiveness of the demand for a good towards the change in the price of a related good (substitutes and complements) is called cross price elasticity of demand.