Define the price elasticity, Microeconomics

Assignment Help:

Price elasticity is used in economics to determine the changes in price of goods and services. It measures the change in price demanded and quality supplied.

Determinants of price elasticity include the various factors like necessities availabilities of the products in the market size time and the definition of the market.

Necessities include the daily used goods which are necessary and the quantity demanded of those products is high.

Availability here defines the substitutes availability whether the goods and if the goods are not available in the market then its substitute is available or not so that a buyer can give more money and pay for it if it fulfills the satisfaction level.

The market size depends on the basis of the products and the requirements.

The timing is also a factor because if the buyer has a sufficient time and amount then he will go for the good market but if not then he will just buy it for the cause of buying.


Related Discussions:- Define the price elasticity

Explain the development process of a developing country, Explain how foreig...

Explain how foreign aid might help in the development process of a developing country. Definition/outline of various forms of aid, i.e. donor aid, tied aid, bilateral aid etc.

Principles of microeconomics, can you help me figure out how to create a gr...

can you help me figure out how to create a graph with little or no information

Frictional and cyclical unemployment, Frictional and Cyclical Unemployment:...

Frictional and Cyclical Unemployment: Frictional Unemployment: It refers to unemployment caused by changes in individual labour markets. This is the type of unemploymen

Consumer choice involving risk, CONSUMER CHOICE INVOLVING RISK: The tr...

CONSUMER CHOICE INVOLVING RISK: The traditional theory of consumer behaviour does not include an analysis of uncertain situation. Von Neumann and Morgenstern showed that under

Labor deman, Discuss two factors that would increase demand for labortion.....

Discuss two factors that would increase demand for labortion..

Discuss about modern economic growth, Discuss about Modern economic growth ...

Discuss about Modern economic growth Modern economic growth is also a shift in the kinds of things we do at work and play and in the way we live. Back in immediate aftermath of

Determinants of the price elasticity of demand, Determinants of the price e...

Determinants of the price elasticity of demand are explained below: 1. Number of close substitutes present within the market - The more and closer substitutes available in the

Cost-benefit analysis, Normal 0 false false false EN-IN...

Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInternetExplorer4

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd