The money suppleness out of tomatoes is actually 0

The money suppleness out of tomatoes is actually 0

133. twenty five, it means tomatoes was: (a) Lower items. (b) Luxury merchandise. (c) Regular items. (d) Can not state. Answer: (c) Typical services and products.

There’s a relationship between cost of a commodity additionally the interest in their complementary services and products (whatever else kept the same)

134. 6. What does so it mean: (a) Individual school education is actually a luxury. (b) Personal school training is a necessity. (c) Private college training try a smaller sized product. (d) We would like to convey more individual schools. Answer: (a) Private college training try a luxury.

Suppose the amount of money elasticity off studies independently school within the India is actually step 1

135. Assume carrots have (-).0.4 as the income elasticity. We could state from the data since the: (a) Carrots is second-rate products. (b) Carrots is superior merchandise. (c) Potatoes try basics. (d) There can be an aspire to enhance the money from users so that they can pick potatoes. Answer: (a) Potatoes is actually inferior services and products.

136. Whether your income flexibility was lower than one to, it implies that the goods is actually sometimes relatively the very least important in brand new eyes off individual or it is an effective ________. (a) Lower (b) Deluxe (c) Prerequisite (d) Not one of those Address: (c) Necessity

137. The money elasticity away from consult regarding commodity “Buttons” try ________. (a) Higher than one (b) Lest than simply you to definitely (c) No (d) You to Respond to: (c) Zero

138. ‘Bajra’ was a smaller commod¬ity from the attention of your household. The earnings suppleness out of request would be ________. (a) Over step one (b) Equivalent to step 1 (c) Less than 1, however, greater than 0 (d) Bad Address: (d) Negative

139. Cross flexibility of request refers to the levels of item and that might be required in response in order to ________, remaining other things leftover a comparable. (a) Income away from consumer (b) Price of exact same item (c) Cost of Related commodity (d) One another (b) L(C) Answer: (c) Cost of Relevant commodity

140. If there is replacement products, brand new cross request contour mountains ________. (a) Right up (b) Down (c) Rounded (d) Parabolic Answer: (a) Right up

143. The newest mix elasticity ranging from Cash and you may Dvds was: (a) Self-confident. (b) Negative. (c) Zero. (d) You to definitely. Answer: (c) No.

144. The fresh new get across elasticity ranging from personal computers and you may software’s are: (a) Self-confident. (b) Bad. (c) zero. (d) One to. Answer: (b) Negative.

145. In the event the two items are prime substitutes each almost every other, the fresh get across flexibility between them was ________. (a) One to (b) Multiple (c) Below you to (d) Unlimited Address: (d) Infinite

145A. In the event that numerical worth of mix elasticity between several items was quite high, it means: (a) The goods are perfect comple-ments hence need to be utilized together with her. (b) The goods are perfect substitutes and certainly will be used without difficulty in lieu of each other. (c) There is certainly a top degree of substi-tutability between them services and products. (d) The products try neutral and there-fore can not be considered as alternatives. Answer: (c) You will find a high degree of substi-tutability among them goods.

146. If your items are substituted (such tea and you can java), the newest cross suppleness among them is actually ________. (a) Self-confident (b) Bad (c) Zero (d) Infinity Address: (a) Self-confident

146A. If for example the quantity required away from lamb grows by 5% if the price of chicken expands by 20%, the new mix¬rate elasticity of demand anywhere between lamb and chicken is: (a) – 0.twenty five (b) 0.twenty-five (c) – 4 (d) 4 Address: (b) 0.twenty-five

147. In the event of Complementary Goods, a boost in the price of one to causes a fall about number demanded of your own most other. The fresh new mix flexibility of request anywhere between these will be ________. (a) Positive (b) Negative (c) Zero (d) Infinity Respond to: (b) Negative