Question
Explain any six factors determining price elasticity of demand.
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Demand schedule for commodity- X of individual A and B is given in the following table. Derive the market demand schedule and market demand curve.
| Price of Commodity-X (₹) | Demand of A (Units) | Demand of B (Units) |
| 1 | 9 | 7 |
| 2 | 7 | 6 |
| 3 | 6 | 5 |
| 4 | 4 | 4 |
| 5 | 3 | 3 |
| Items of Expenditure | Food | Education | Housing | Clothing | Miscellaneous |
| % age of total expenditure | 60 | 15 | 10 | 10 | 5 |
| Price (₹) | Demand (Units) |
| 5 | 100 |
| 6 | 75 |
| 8 | 50 |
| X | 11-20 | 21-30 | 31-40 | 41-50 | 51-60 |
| f | 4 | 8 | 20 | 12 | 6 |
|
C.I.
|
1-5
|
6-10
|
11-15
|
16-20
|
21-25
|
|
No.of Workers
|
10
|
15
|
20
|
25
|
30
|
|
Number of Students (in '000)
|
||
|
Subject
|
2011-12
|
2012-13
|
|
Statistics
|
25
|
30
|
|
Economics
|
40
|
42
|
|
History
|
35
|
28
|
| Marks: | 5-15 | 15-25 | 25-35 | 35-45 | 45-55 |
| No, of students: | 7 | 5 | 4 | 2 | 2 |