If two commodities are substitutes, a change in the price of the one, ceteris paribus, causes a change in the quantity purchased of the other
A. | In the same direction |
B. | In an insignificant manner |
C. | In the opposite direction |
D. | Cannot be known |
Option: A Explanation : Click on Discuss to view users comments. |
"The more nearly perfect a market is, the stronger is the tendency for the same price to be paid for the same thing at the same time in all parts of the market" is the definition of perfect competition by
A. | Jevons |
B. | J. S. Mill |
C. | Prof. Benham |
D. | Prof. Marshall |
Option: D Explanation : Click on Discuss to view users comments. |
A high value of cross-elasticity indicates that the two commodities are
A. | Very good substitutes |
B. | Good complements |
C. | Poor substitutes |
D. | Poor complements |
Option: A Explanation : Click on Discuss to view users comments. |