Higher the price level, higher should be the elasticity of demand.

True

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False

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Solution

The correct option is A True
True. Elasticity of demand will be high at level of price of the commodity. Because corresponding to higher level of $P_{X}$ , percentage change in demand is often found to be high (owing to low initial demand).

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Higher the price level, higher should be the elasticity of demand.

The correct option is A TrueTrue. Elasticity of demand will be high at level of price of the commodity. Because corresponding to higher level of PX , percentage change in demand is often found to be high (owing to low initial demand).

The correct option is A True
True. Elasticity of demand will be high at level of price of the commodity. Because corresponding to higher level of $P_{X}$ , percentage change in demand is often found to be high (owing to low initial demand).