Question : Which of the subsequent assertions is untrue:
a) Higher elasticity number suggests a greater impact of a change in price on the quantity desired.
b) Demand elasticities can only fluctuate between -1 and +1.
c) Rectangular hyperbola demand curves will exist for all commodities with unitary elastic demand.
 

Option 1: A only 

Option 2: B only 

Option 3: A and C only 

Option 4: B and C only

Question : Which of the following are the assumptions of the law of Demand?

Option 1: Price remains unchanged

Option 2: Income remains unchanged 

Option 3: The price of related goods is changed 

Option 4: A change in taste and preferences 

Question : Which of the following is an assumption made while drawing the demand curve
a:The demand curve must be linear
b:The price of substitutes should not change
c: The quantity demanded should not change
d: The price of the commodity should not change

Option 1: A and B 

Option 2: B only

Option 3: A, B and C only

Option 4: A, B, C and D all

Question : A unit price elastic demand curve will touch 

Option 1: Both price and quantity axis .

Option 2: Neither price axis , nor quantity axis.

Option 3: Only price axis .

Option 4: Only quantity axis .

Question : When a good's demand is less elastic,
a) Price change as a percentage of demand as a percentage of price change
b) Change in the amount demanded as a percentage of price change
c) Price change by percentage equals demand by percentage changed
d) Demand is more steeply curved.

Option 1: A and B only

Option 2: B and C only 

Option 3: A and D only

Option 4: All of the above