Question

How the demand of kerosine will be affected if there is an increase in the supply of cooking gas

Answer 1

Answer:

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Explanation:

The consumption of kerosene, mostly used by rural poor for lighting and cooking, declined to 5 million metric tonnes between April 2016 and February 2017 from 6.3 million metric tonnes in the same period in FY2016. Use of kerosene has been declining for a decade but the rate has mostly been in lower single digit. It fell 4.2% in FY2016.

But in FY2017, the central government decided to sharply reduce allocation of subsidised kerosene to states. This showed up in a massive 34% reduction in consumption in February 2017 and 20.4% between April 2016 and February 2017. Some states also took voluntary cuts to take advantage of a financial incentive offered by the Centre.