Question : Assertion (A): Demand elasticity is higher for durable commodities. Reason (R): Once durable items are in high demand now, their demand can be delayed.
Option 1: Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A).
Option 2: Both Assertion (A) and Reason (R) are true and Reason (R) is not the correct explanation of Assertion (A).
Option 3: Assertion (A) is true but Reason (R) is False
Option 4: Assertion (A) is False but Reason (R) is True
Correct Answer: Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A).
Solution : Demand elasticity is higher for durable commodities. Compared to the market for non-durable goods, the demand for durable goods is more erratic. In the field of economics, durable goods are those that continue to provide consumers with services for a number of years to come. Additionally, they can be kept in storage for longer periods of time due to their durability. Hence option a is the correct answer.
Question : Assertion (A): Demand elasticity is higher for durable commodities. Reason (R): Demand for durable goods can be postponed once they are demanded at present.
Question : Assertion (A): Demand elasticity is greater than one below the demand curve's midpoint on a straight line with a downward slope. Reason (R): The demand elasticity on a linear demand curve ranges from zero to infinity.
Question : Assertion (A): Complementary goods have joint demand. Reason (R): In order to fulfill a specific need, complementary commodities are simultaneously desired.
Question : Assertion (A): Demand elasticity is greater than one below the demand curve's midpoint on a straight line with a downward slope. Reason (R): The elasticity of demand on a linear demand curve ranges from 0 to infinity.
Question : Assertion(A): Demand elasticity is greater than one below the demand curve's midpoint on a straight line with a downward slope.
Reason(R): The range of demand elasticity on a linear demand curve is zero to infinity.
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