elasticities Flashcards
1
Q
P.E.D. formula
A
% change in Qd of good X
/
% change in price of good X
2
Q
Y.E.D formula (income elasticity)
A
% change in Qd
/
% change in Y
3
Q
X. E. D. (cross elasticity)
A
% change of Qd of good X
/
% change in price of good Y
4
Q
P.E.S. (price elasticity of supply)
A
% change in supply of good X
/ % change in price of good X
5
Q
P.E.S. more elastic
A
- in long run
6
Q
P.E.S. more elastic
A
- in short run
