If price of any commodity decreases by 20% and the demand for that commodity increases by 40%, then elasticity of demand would be
A. Perfectly elastic
B. Perfectly inelastic
C. Unit elastic
D. Highly elastic
Answer:D
If price of any commodity decreases by 20% and the demand for that commodity increases by 40%, then elasticity of demand would be
A. Perfectly elastic B. Perfectly inelastic C. Unit elastic D. Highly elastic