CBSE Questions for Class 11 Commerce Economics Theory Of Consumer Behaviour Quiz 16 - MCQExams.com

If the disposal income of a household increases by 10% and the demand for X commodity increased by 10%. The goods can be considered _________.
  • essential goods
  • luxury goods
  • inferior goods
  • normal goods

Given below is the demand schedule for a commodity. What is the nature of elasticity of demand for the commodity?

Price (Rs.)

Quantity Demanded (units)

5

12.0

6

10.0

8

7.5

10

6.00
  • $${ E }_{ d }=1$$
  • $${ E }_{ d }>1$$
  • $${ E }_{ d }<1$$
  • $${ E }_{ d }=\infty $$
A consumer buys 50 units of a commodity at Rs. 4 per unit. When its price falls by 25%, its demand rises to 100 units. What is the price elasticity of demand?
  • -4
  • 2
  • 1.5
  • 4
If the local pizzeria raises the price of a medium pizza from Rs. 70 to Rs. 100 and quantity demanded falls from 700 pizzas a night to 100 pizzas a night, the price elasticity of demand for pizzas is ________.
  • 0.67
  • 1.5
  • -2.0
  • -3.0
In indifference curve theory, price effect is split into which two effects?
  • Price effect and output effect
  • Price effect and substitution effect
  • Price effect and income effect
  • Substitution effect and income effect
As a consumers income rises from Rs 3000 to Rs 3600, demand rises from 25 units to 30 units. Calculate income elasticity of demand.
  • 2.6
  • 1.5
  • 1.0
  • 2.8
A decline in the price of X by Rs. 2 causes an increase of 10 units in demand which goes up to 60 units. The new price is Rs.Calculate elasticity of demand.
  • 1.2
  • 2
  • 4
  • 8
When the price of Commodity-X is Rs.20 per unit, its quantity demanded is 50 units; and when the price goes up to Rs. 40 per unit, its quantity demanded falls to 25 units. Find the price elasticity coefficient.
  • -1.5
  • 0.5
  • -0.5
  • 1.5
In the case of inferior goods, the law of demand fails.
  • True
  • False
As the price of a commodity rises from Rs. 10 to Rs 12, its demand falls from 100 units to 80 units. Calculate elasticity of demand.
  • 4
  • 3
  • 1
  • 2
Suppose the price of movies seen at a theatre rises from Rs. 120 per person to Rs. 200 per person. The theatre manager observes that the rise in price causes attendance at a given movie to fall from 300 persons to 200 persons. What is the price elasticity of demand for movies?
  • 0.5
  • 0.8
  • 1.0
  • 1.2
When the income of a consumer is Rs. 40, his demand for a particular commodity is 8 units. When his income goes up to Rs. 50, his demand for that commodity becomes 10 unit. Calculate his income elasticity of demand for the commodity.
  • 1
  • 2
  • -2
  • 4
Any point above the consumer's equilibrium point is desirable but is not attainable because ________.
  • income and prices are given
  • taste and income and given
  • preference and prices are given
  • none of the above
If indifference curve is L shaped, it means two goods will be
  • Perfect Complementary Goods
  • Perfect Substitute goods
  • Perfect inferior goods
  • Perfect superior goods
When the price of petrol decreases, people reduce the consumption of diesel, then the goods are 
  • Mixed
  • Complementary
  • Superior
  • Substituents
Demand curve slopes downward due to law of _____.
  • Diminishing marginal utility
  • Variable proportion
  • Utility maximisation
  • None of the above
0:0:1


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