true

Take BA Tuition from the Best Tutors

• Affordable fees
• 1-1 or Group class
• Flexible Timings
• Verified Tutors

Search in

# The Concept of Elasticity

Amit Wasdev
06/12/2016 0 0

Elasticity is a measure of the responsiveness of quantity to changes in price or some other variable.

The most commonly used elasticity concept is price elasticity of demand.

The price elasticity of demand is the percentage change in quantity demanded divided by the percentage change in price.

May be abbreviated as hd or ED.

Determinants of the Price Elasticity of Demand: -

1. The close substitutes for a good, the more elastic is demand.

2. The longer the time interval, the more elastic is a good’s demand.

3. The more specific the good, the more elastic is demand.

4. The ??? a good is a necessity, the more elastic is demand.

Price Elasticity of Supply

The price elasticity of supply is the percentage change in quantity supplied divided by the percentage change in price.

May be abbreviated as hs or ES.

Determinants of the Price Elasticity of Supply:-

1. The short-run supply curve is somewhat elastic or inelastic

2. In the long run, significant substitution is possible; the supply curve becomes very ???

0 Dislike

## Other Lessons for You

Borrowing Cost AS - 16
1) What are the: BC (Borrowing Cost) & QA (Qualifiying Asset)? i) Borrowing Cost: BC are interest & other coasts incurred by co in connection with borrowing funds It includes int, commitment...

Class 11th - Conic sections
Determine the co-ordinates (x,y) of foci for given parabola. y2 = 2(x-1)
G

GOODWILL GATE2IIT

Benami Transactions
Prohibition of Benami Property Transaction Act, 1988, amended by Amendment Act 2016 An Act which prohibits Benami transactions and right to recover property held as Benami by benamidar and also proceeds...

Math's Formulas
Dear Students, We all know that one small sign or number makes big difference in Mathematics answers. Instead of by Harding formulas, try to understand how it has been derived then you never forgot it.

### Looking for BA Tuition ?

Learn from Best Tutors on UrbanPro.

Are you a Tutor or Training Institute?

Join UrbanPro Today to find students near you
X

### Looking for BA Tuition Classes?

The best tutors for BA Tuition Classes are on UrbanPro

• Select the best Tutor
• Book & Attend a Free Demo
• Pay and start Learning

### Take BA Tuition with the Best Tutors

The best Tutors for BA Tuition Classes are on UrbanPro