1.

Comment upon the degree of elasticity of demand for Good X, in the following given situations, if the price of the commodity rises from Rs. 5 per unit ot Rs. 7 per unit and the quantity demanded falls from 20 units to 16 units: (i) Using the total household expenditure method, (ii) Using proportionate method.

Answer»

Comment upon the degree of elasticity of demand for Good X, in the following given situations, if the price of the commodity rises from Rs. 5 per unit ot Rs. 7 per unit and the quantity demanded falls from 20 units to 16 units:
(i) Using the total household expenditure method,
(ii) Using proportionate method.



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