Define Price Elasticity of Demand (PED) and explain what inelastic PED means for a good.

Price elasticity of demand is the responsiveness of quantity demanded to changes in price in the market.If PED was to be inelastic, price changes have a small effect on changes in quantity demanded.

OW

Related Economics GCSE answers

All answers ▸

Which factors affect supply and demand?


Explain the possible effect on consumers and producers when a specific tax is imposed on cigarettes.


Why are UK government gilt (bond) yields rising and why is that bad?


Explain the difference between direct and indirect costs.