ECO 402 GDB NO 1 SOLVED ENJOY
Posted: Wed Apr 11, 2012 9:42 am
As by the scenario we know the current ruling government increased the price of CNG from Rs. 35/Kg to Rs.89/kg and price of petrol from Rs.56/litre to Rs.103/litre in the span of last four years. So we can see increment of CNG price per Kg is from Rs. 35/Kg to Rs.89/kg And; price of petrol from Rs.56/litre to Rs.103/litre in the span of last four years As the prices are rising and both the Goods are substitutes Goods, so the rise of price in petrol will decrease the increase the demand for petrol and increase the Demand for CNG. Suggest the measures to overcome this situation? As consumers will buy more and more CNG instead of petrol so the price for petrol can be fall. Other measure is Government has to build its own resources for petrol in this way price can be decrease.