Chapter - 11
Pages Covered - 50
So What Does A PED Value Of −0.5 Actually Mean?
The Change That Presents -0.5 Is The Percentage Change In Price And Quantity
Possibilities Of PED
If The PED For A Product Is Less Than 1 (Ignoring The Minus Sign), Then Demand Price Inelastic — That Is, Demand Is Relatively Unresponsive To Changes In Price This Is Because The Percentage Change In Quantity Is Less Than The Percentage Change In Price
If The PED Value Is Greater Than 1 Then The Price Is Elastic, The Demand Responds To The Change In Price, This Is Because The Change In Quantity Is Higher Than Change In Price
Graphical Representation Of Price Elasticity And Inelasticity
When The Price Rises The Quantity Decreases By A Low Quantity
When The Price Decreased The Quantity Increased By A Big Quantity
What would a supply and demand graph look like if the quantity demanded is highly in elastic?
Price elasticity of demand for a good is -0.75.calculate percentage fall in its price that will result in a 15 percent rise in its demand.
A 20 percent fall in the price of a good raises its demand from 600 units to 750 units.calculate its price elasticity of demand.
What does 75% elasticity mean?
Is 0.5 elastic or inelastic?
Is PED = -2.5 elastic or inelastic?
Is PED always negative?