Free download in PDF Demand and Supply Multiple Choice Questions & Answers for competitive exams. These Demand and Supply MCQ(Multiple Choice Questions) with Answers are important for competitive exams UGC NET, GATE, IBPS Specialist Recruitment Test.
4
Which among the following statement is INCORRECT?
A
On a linear demand curve, all the five forms of elasticity can be depicted’
B
If two demand curves are linear and intersecting each other then coefficient of elasticity would be same on different demand curves at the point of intersection.
C
If two demand curves are linear, and parallel to each other then at a particular price the coefficient of elasticity would be different on different demand curves
D
The price elasticity of demand is expressed in terms of relative not absolute, changes in Price and quantity demanded’
Answer: If two demand curves are linear and intersecting each other then coefficient of elasticity would be same on different demand curves at the point of intersection.
5
The horizontal demand curve parallel to x-axis implies that the elasticity of demand is:
18
Mr. Raees Ahmad bought 50 litres of petrol when his monthly income was Rs. 25,000. Now his monthly income has risen to Rs. 50,000 and he purchases 100 litre of petrol. His income elasticity of demand for petrol is: