Exam 3: Demand and Elasticity

Net addition to total cost is called:

-------------- cost can never become zero.

If a positively sloped linear supply curve crosses the quantity axis, the elasticity of supply is:

Most important determinant of demand is :

Cross elasticity of demand in the case of substitutes:

When the price of the substitute commodity of X falls, the demand for X:

If a small change in price leads to infinitely large change in quantity demanded, then the demand is:

From the position of stable equilibrium, the market supply of a commodity decreases, while the market demand remains unchanged, then:

The market equilibrium for a commodity is determined by :

Average cost is the sum of AVC and

In which of the following market, advertisement is absent:

Elasticity of supply for a positively sloped straight line supply curve that intersects the price axis is:

Which of the following is the reason for law of demand:

In drawing an individual demand curve for a commodity, all but which of the following are kept constant:

The law of diminishing marginal utility was popularized by:

If the income elasticity of demand for a commodity is found to be 0.4, then the commodity concerned is:

If the quantity demanded remains unchanged as the price of the commodity falls, the coefficient of price elasticity of demand is:

Net addition to total utility when one more unit is consumed is:

Which of the following is an exception to the law of demand?

If the supply curve of the commodity is having a positive slope, a rise in the price of the commodity, results in: