1. QUIZ ABOUT
ELASTICITY

2. It is the measure of the extent to which the
quantity demanded of a good changes when the
price of the good changes.
ANS: PRICE ELASTICITY OF
DEMAND

3. It is ______ demand if the quantity demanded
changes by a very large percentage in
response to an almost zero percentage
change in price.
ANS: PERFECTLY ELASTICE

4. It is ______ demand if the percentage
change in the quantity demanded is less
than the percentage change in price.
ANS: INELASTIC DEMAND

5. It is ______ demand if the quantity
demanded remains constant as the
price changes.
ANS: PERFECTLY
INELASTIC DEMAND

6. It is independent of the units used
to measure price and quantity
ANS: ELASTICITY

7. A measure of the extent to which the
quantity supplied of a good changes when
the price of the good changes.
ANS: PRICE ELASTICITY OF
SUPPLY

8. The percentage change in the
quantity supplied equals the
percentage change in price.
ANS: UNIT ELASTIC SUPPLY

9. The percentage change in the quantity
supplied is less than the percentage
change in price
ANS: INELASTIC SUPPLY

10. The percentage change in the quantity supplied is
zero when the price changes
ANS: PERFECTLY
INELASTIC SUPPLY

11. The percentage change in the quantity
supplied exceeds the percentage
change in price.
ANS: ELASTIC SUPPLY