Topic: Elasticity of Demand
The learner will understand the importance of the concept of elasticity to the demand for
goods and services.
1. Using the appropriate elasticity formula, the learner will be able calculate the pri
Chapter 5 Elasticity
A. Price Elasticity of Demand
1. Elasticity the measure of responsiveness of one variable relative to another. We can
do this for any variable, not just economic.
2. Price Elasticity of Demand Measures the percentage change in Qd rela