Analysis of PED 2 Flashcards
1
Q
Perfectly inelastic
A
The %∆ in q.d is zero. Q.d does not respond to change in price
PED=0
2
Q
Unitary Elasticity
A
The %∆ in q.d is equal to the %∆ in price PED=1
3
Q
Fairly inelastic
A
The %∆ in q.d is less than the %∆ in price 0<PED<1
4
Q
Fairly Elastic
A
The %∆ in q.d is greater than the %∆ in price 1<PED<∞
5
Q
Perfectly elastic
A
Q.d changes when there is no ∆ in price PED=∞
