In this article we will discuss about the formula and equation for calculating the price elasticity of demand explained with the help of examples. According to the law of demand as the (own) price of a good decreases or increases, the quantity demanded of it would, respectively, increase or decrease. The capacity of demand for a good to increase or [...]
In this article we will discuss about the formula for calculating the cross-elasticity of demand. Also learn about the use and application of the concept of cross-elasticity of demand. The responsiveness of the demand for a good Y in response to a change in the price of another good X is called the cross-elasticity of demand for good Y with [...]
In this article we will discuss about the formula and equation for calculating income elasticity of demand. Also learn about:- 1. Proportion of Income Spent on a Good and Income-Elasticity of Demand 2. Classification of Goods on the Basis of EI 3. Use and Application. If the income of the buyers of a good changes, then, generally, the demand for [...]