ECONOMICS
ELASTICITY OF DEMAND
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
|
|
subsitute
|
|
|
future expectations
|
|
|
market size
|
|
|
complementary
|
Detailed explanation-1: -Unrelated goods: Unrelated or independent are terms that refer to a scenario in which two goods have a cross-price elasticity coefficient of zero. This means that analysis shows no relationship in consumption or demand trends. As such, a price change for one product is not likely to affect the demand of the other.
Detailed explanation-2: -When elasticity is less than zero, it means that the value is negative. Inferior goods are those goods whose income elasticity is less than zero. When income increases, then the demand for goods automatically got declines.
Detailed explanation-3: -In economics, a complementary good or complement is a good with a negative cross elasticity of demand, in contrast to a substitute good. This means a good’s demand is increased when the price of another good is decreased. Conversely, the demand for a good is decreased when the price of another good is increased.