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Question : The elasticity of demand is the degree of responsiveness of demand for a commodity to a ___________.

Option 1: Change in consumer's wealth

Option 2: Change in the price of substitutes

Option 3: Change in consumer's taste

Option 4: Change  its price


Team Careers360 3rd Jan, 2024
Answer (1)
Team Careers360 22nd Jan, 2024

Correct Answer: Change  its price


Solution : The correct option is to Change its price

The elasticity of demand gauges how responsive the quantity demand of a product or service is to shifts in its price. Elastic demand will alter significantly in response to even small price changes, as the amount requested will shift.

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