Elasticity of Demand

A desire backed by ability to pay and willingness to pay for a commodity is called (a)  

When the price of petrol goes up, demand of car will (a)  

The Law of demand is based on the law of (a)  

If there is no change in demand for commodity ‘X’, even after rise in its price, then its demand is

• Perfectly Elastic

• Perfectly Inelastic

• Unitary elastic

• Relatively inelastic

If the percentage increase in the quantity demanded of a commodity is less than the percentage fall in its price, then elasticity of demand is

• > 1

• = 1

• < 1

• = 0

The demand for salt is

• elastic

• inelastic

• zero

• maximum

State the law of demand.

What do you mean by prefectly elastic demand?

What are the factors affecting elasticity of demand?

Draw demand curve of Unitary elastic demand