If a commodity has more number of substitutes, the demand for this commodity will be
A. more elastic
B. less elastic
C. inelastic
D. perfectly elastic
B. less elastic
A monopolist will be able to maximise his profits when
A. His output is maximum
B. He charges a Higher price
C. His average cost is minimum
D. His marginal cost is equal to the marginal revenue
D. His marginal cost is equal to the marginal revenue
Which of the following items is characterised by the highest income elasticity of demand among others?
A. Car
B. Milk
C. Paddy
D. Tobacco
A. Car
Which among the following is an example of a microeconomic variable?
A. National Income
B. Consumer's Equilibrium
C. Aggregate Supply
D. Employment
B. Consumer's Equilibrium
Which of the following is related to Microeconomics?
A. The size of the national economy
B. Inflation
C. Unemployment
D. Behavior of individual economic units
D. Behavior of individual economic units
What is the demand of a commodity?
A. Need of the commodity
B. Desire for a commodity
C. Quantity of a commodity demanded at a particular time at a particular price
D. Amount of commodity demanded
C. Quantity of a commodity demanded at a particular time at a particular price
Which of the following is correct regarding the law of demand?
A. It is the relationship between Income and the price of the commodity
B. Assumes Income of the customer should not change
C. Assumes the Price of the commodity should not change
D. It is the relationship between Income and Quantity demanded
D. It is the relationship between Income and Quantity demanded
Which among the following is related to the demand curve?
A. Relation between quantity demanded and price of a commodity
B. Relation between supply and demand of a commodity
C. Relation between income of customers and demand of a commodity
D. None of the above
A. Relation between quantity demanded and price of a commodity
What does low price elasticity of demand for a commodity show?
A. Necessity of the good
B. It is a luxury good
C. It doesn't have importance
D. It is an inferior good
A. Necessity of the good
What is perfectly inelastic demand?
A. Demand doesn't change with price
B. Demand change with price
C. Change in demand is equal to price
D. Demand changes infinitely
A. Demand doesn't change with price