In the case of unitary elastic demand, the total outlay of the consumer before the price change and after the price change will ______ .

become more

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become less

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remain the same

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fluctuate

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Solution

The correct option is C remain the same
In the case of unitary elastic demand, the total outlay of the consumer before the price change and after the price change will remain the same. This is a hypothetical case as there is no real life examples for the same.

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Similar questions

Q. If the demand is less than unitary elastic , the total outlay of the consumers will change in the opposite direction of change in price.

Q. A business firm recently decreased price by

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What is the situation implies in the case where the demand is greater than unitary elastic when percentage change in quantity demanded in response to change in price of the commodity?

Q. When with a change in price the total outlay on a commodity remains constant, it is a case of _____.

Q. State whether the following statement are TRUE and FALSE.

1. Demand for luxuries is elastic.

2. Perfectly inelastic demand curve is parallel to the X axis.

3. Total outlay is price multiplied by quantity.

4. Unitary Elastic Demand rarely occurs in practice.

5. Concept of Elasticity of Demand is useful for finance minister.

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In the case of unitary elastic demand, the total outlay of the consumer before the price change and after the price change will ______ .

The correct option is C remain the sameIn the case of unitary elastic demand, the total outlay of the consumer before the price change and after the price change will remain the same. This is a hypothetical case as there is no real life examples for the same.

The correct option is C remain the same
In the case of unitary elastic demand, the total outlay of the consumer before the price change and after the price change will remain the same. This is a hypothetical case as there is no real life examples for the same.