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Commerce · Q416

Economics

Graduate and Post Graduate · Commerce · question 416

Q416

The larger the co-efficient of price elasticity of demand for a product, the

A.
Larger the resulting price change for a given increase in supply
B.
More rapid the rate at which the marginal utility of that product diminishes
C.
Less competitive will be the industry supplying that product
D.
Smaller the resulting price change for a given increase in supply
Answer

Answer: Option D

Solution

Answer: Option D
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