Price elasticity of demand (PED or Ed) is a measure used in economics to show the responsiveness, or elasticity, of the quantity demanded of a good or service to a...
1 Answers 1 viewsIf a decrease in price from R50 to R40 causes the quantity demanded to increase from 2500 to 3000 units, then using the arc elasticity of demand, the price elasticity...
1 Answers 1 views1) PED = (% change in quantity demanded) / (% change in price) = = ((3000-2500)/2500) / ((40-50)/50) = -1
1 Answers 1 viewsE_d^p=((Q2-Q1)/((Q2+Q1)/2))/((P2-P1)/((P2+P1)/2))=((3000-2500)/((3000+2500)/2))/((40-50)/((40+50)/2))=0.18/(-0.22)=-0.82
1 Answers 1 viewsHow has the size of the price rise been affected by the price elasticity of demand for Brazil nuts?The price elasticity of demand for the Brazilian nuts can be described...
1 Answers 1 viewsPrice: 50, Quantity:50 = -5Q + 705Q = 70 -505Q = 20Q = 4Price: 40, Quantity:40 = -5Q + 705Q = 30Q = 6Price: 30, Quantity:30 = -5Q + 705Q...
1 Answers 1 viewsPrice Elasticity of Demand (Ed) = Percentage Change in Quantity Demanded / Percentage Change in Price(-)0.2 = -10 / Percentage Change in PricePercentage Change in Price = -10 / -0.2...
1 Answers 1 viewsThe price elasticity of demand is calculated as the percentage change in quantity divided by the percentage change in price.Change in price 40 / 100 = 0.4Change in quantity 5.25...
1 Answers 1 viewsThe price elasticity of demand is calculated as the percentage change in quantity divided by the percentage change in price.Change in price 40 / 100 = 0.4Change in quantity 5.25...
1 Answers 1 viewsThe law of demand states - when price increases, quantity demand will decrease.When price decreases, the quantity demanded will increase.
1 Answers 1 views