Goods which are not perfect substitute of each other but have to be consumed in a fixed ratio will have rate of substitution

Related MCQs

• Goods which are perfect substitute of each other will have rate of substitution
• Goods which are perfect substitute of each other will have elasticity of substitution…...
• Tea and Coffee are perfect substitute of each other, given the price of Tea and Coffee being `100 and `200 per Kg. a consumer is prepared to buy 3 Kg. of each. If the price of tea remain same and the price of Coffee rises to `400 per kg. the demand for Tea goes to 6 Kg. and that of Coffee falls to 1Kg. The elasticity of substitution between Tea and Coffee is
• Two commodities X and Y goods can be inferred as close substitute of each other if –
• If two goods are perfect substitutes for one another, the elasticity of substitution will be
• Cross elasticity of a nearly perfect substitute products will be
• If two goods are not substitutes at all for one another, the elasticity of substitution will be
• The cross elasticity of substitute goods is generally
• A levy of excise duty on consumption of an item consumed will ……………..
• The external environment factor that includes: Factors that have a less immediate effect on a business such as the nation's rate of inflation or recession, unemployment rate, or standard of living, is