MCQ
Complete the following statement:
When the percentage change in quantity demanded is more than the percentage change in price, the demand curve is ______.
Options
flatter
steeper
rectangular
horizontal
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Solution
When the percentage change in quantity demanded is more than the percentage change in price, the demand curve is flatter.
Concept: Types of Price Elasticity of Demand
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Chapter 3.2: Elasticity of Demand - Exercise [Page 34]
Q 1. (4)Q 1. (3)Q 1. (5)
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Balbharati Economics 12th Standard HSC Maharashtra State Board
Chapter 3.2 Elasticity of Demand
Exercise | Q 1. (4) | Page 34
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When percentage change in quantity demanded is more than the percentage change in price demand curve is?
If the percentage change in quantity demanded is greater than the percentage change in price, demand is said to be price elastic, or very responsive to price changes.
When the percentage change in quantity demanded is greater than the percentage change in price of the commodity the demand for the commodity is said to be?
Own-Price Elasticity
If the percent change in the quantity demanded is greater than the percent change in the price of a good, demand is said to be price elastic or more responsive to price changes. (Example: A 1-percent change in price induces a change in quantity demanded by more than 1 percent.)
When the percentage change in quantity demanded is more than the percentage change in price the demand curve is * 1 point rectangular steeper flatter horizontal?
Solution. When the percentage change in quantity demanded is more than the percentage change in price, the demand curve is flatter.
When percentage change in quantity demanded is less then percentage change in price the demand curve is?
Answer and Explanation: 1) When the percentage change in the quantity demanded is less than the percentage change in price, then demand is C. inelastic.