0
If demand is zero, then the equilibrium price is zero and it would be unwise to supply such a good or service.
Wiki User
∙ 14y ago
Add your answer:
Earn +20 pts
When a price of a good increased by 2 percent the quantity demanded decreased by 10 percent What is the price elasticity of demand?
Price elasticity of demand= percentage change in demand/percentage cgange in price 2 = % chnge in demand/10 % change in demand= 2*10 % change in demand= 20%
If the price of a good is zero is it a scarce good?
No. The more rare a good, and the more demand, the higher the price will be.
What is price elasticity of vertical demand curve?
its zero I'll do a bit of the explanation: Price Elasticity of Demand captures the shift in demand for rises in prices in percentage terms. Therefore if a commodity is such that no matter what price the producer charges the consumer has no alternative but to buy it, then for any price the demand for that commodity remains unaltered, maybe an example is a monopolist salt producer. Therefore the demand curve must be vertical, no matter what the price the quantity demanded is same, hence the price elasticity is zero. (dq/dp)(p/q) = 0, because (dq/dp) = 0
If the value of the cross price elasticity of demand between two goods is approximately zero they are considered?
unrelated
Price elasticity of demand for luxury goods will be?
elastic becoz wen price of the commodity changes , it affects the demand for the commodity .. Demand for a product is sensitive to price changes .. With icrease in price , the demand decreases nd with decrease in price , demand increases ..
What are the 2 extreme situations of price elasticity of demand?
The two extreme ranges of price elasticity of demand are Zero and Infinity.
When a price of a good increased by 2 percent the quantity demanded decreased by 10 percent What is the price elasticity of demand?
Price elasticity of demand= percentage change in demand/percentage cgange in price 2 = % chnge in demand/10 % change in demand= 2*10 % change in demand= 20%
If the price of a good is zero is it a scarce good?
No. The more rare a good, and the more demand, the higher the price will be.
How much does vdrinking water cost?
i) "If the demand curve is vertical, elasticity is zero"Price Elasticity of Demand captures the shift in demand for rises in prices in percentage terms. Therefore if a commodity is such that no matter what price the producer charges the consumer has no alternative but to buy it, then for any price the demand for that commodity remains unaltered, maybe an example is a monopolist salt producer. Therefore the demand curve must be vertical, no matter what the price the quantity demanded is same, hence the price elasticity is zero.
What is price elasticity of vertical demand curve?
its zero I'll do a bit of the explanation: Price Elasticity of Demand captures the shift in demand for rises in prices in percentage terms. Therefore if a commodity is such that no matter what price the producer charges the consumer has no alternative but to buy it, then for any price the demand for that commodity remains unaltered, maybe an example is a monopolist salt producer. Therefore the demand curve must be vertical, no matter what the price the quantity demanded is same, hence the price elasticity is zero. (dq/dp)(p/q) = 0, because (dq/dp) = 0
If the value of the cross price elasticity of demand between two goods is approximately zero they are considered?
unrelated
Most mental disorders cannot be treated with medication.?
If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.If price remains the same, demand decreases.
Why price an independable variable and demand is dependent variable?
Because demand creates the price, and not the price dictates the demand.
What is pure competitive?
Firms are price takers, price is equal to marginal costs, demand is perfectly elastic, i.e. constant and horizontal, the firms makes zero Economics profits.
What is a Pure competition?
Firms are price takers, price is equal to marginal costs, demand is perfectly elastic, i.e. constant and horizontal, the firms makes zero Economics profits.
How do the changes of demand affect the price?
Higher demand, the higher the price goes. Remove the demand for something and then the price drops.
Price elasticity of demand for luxury goods will be?
elastic becoz wen price of the commodity changes , it affects the demand for the commodity .. Demand for a product is sensitive to price changes .. With icrease in price , the demand decreases nd with decrease in price , demand increases ..
