Elasticity of Demand
- The ratio of the percentage change in the quantity of a good or service demanded to the percentage change in the price.
Energy terms . 2014.
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elasticity of demand — The degree of buyers responsiveness to price changes. Elasticity is measured as the percent change in quantity divided by the percent change in price. A large value (greater than 1) of elasticity indicates sensitivity of demand to price, e.g.,… … Financial and business terms
Price elasticity of demand — Not to be confused with Price elasticity of supply. PED is derived from the percentage change in quantity (%ΔQd) and percentage change in price (%ΔP). Price elasticity of demand (PED or Ed) is a measure used in economics to show the… … Wikipedia
Cross elasticity of demand — Economics … Wikipedia
Income elasticity of demand (YED) — In economics, the income elasticity of demand measures the responsiveness of the quantity demanded of a good to the change in the income of the people demanding the good. It is calculated as the ratio of the percent change in quantity demanded to … Wikipedia
Wealth elasticity of demand — in microeconomics is the relation of the proportional change in consumption of a good to a proportional change in wealth (as distinct from changes in personal income). Measuring and accounting for the variability in this elasticity is a… … Wikipedia
income elasticity of demand — ➔ elasticity of demand * * * income elasticity of demand UK US noun [U] ► ECONOMICS the degree to which the number of products bought changes when income changes: » In Japan, the income elasticity of demand for exports is far higher than for… … Financial and business terms
Cross Elasticity Of Demand — An economic concept that measures the responsiveness in the quantity demand of one good when a change in price takes place in another good. The measure is calculated by taking the percentage change in the quantity demanded of one good, divided by … Investment dictionary
price elasticity of demand — UK US noun [U] ► ECONOMICS ELASTICITY OF DEMAND(Cf. ↑elasticity of demand) … Financial and business terms
Advertising Elasticity Of Demand - AED — A measure of a market s sensitivity to increases or decreases in advertising saturation. Advertising elasticity is a measure of an advertising campaign s effectiveness in generating new sales. It is calculated by dividing the percentage change in … Investment dictionary
Income Elasticity Of Demand — A measure of the relationship between a change in income and a change in quantity of a good demanded: The degree to which a demand for a good changes with respect to a change in income depends on whether the good is a necessity or a luxury. The… … Investment dictionary