THE DEMAND FOR DOUBLES DUE TO 25% FALL IN PRICE.CALCULATE ITS PRICE ELASTICITY OF DEMAND. PLZZZ ANSWER AS SOON AS POSSIBLE.

demand doubles =  100 % change in demand

(if initial quantity demanded = x then new quantity = 2x 

% change in demand =  Δ Q / Q * 100 = x / x * 100

= 100 % )

 

% change in price = 25 %

elasticity of demand = % change in demand / % change in price 

= 100 / 25 

elasticity of demand = 4

therefore more elsatic demand 

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thnx.............

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 u r welcome

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- kyu ni laga rakha
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(-) change in demand divide by change in price so the answer shouldn't be -4
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