Econ gcse

• price elasticity measures how responsive quantity demanded or supplied is to changes in price
• inelastic goods have low price elasticity
• price elasticity is how much quantity demanded changes when there's a change in price
• perfectly inelastic means no substitutes so people will pay any price to get it
• a free market economy has no government intervention
• elastic goods have high price elasticity as they change alot when prices rise
• inelastic goods have low price elasticity as they dont change much when prices rise
• mixed economies have elements of both free markets and command economies
• perfectly inelastic goods have zero price elasticity
• perfectly elastic goods have infinite price elasticity
• elastic goods have high price elasticity
• a perfectly inelastic good has an infinite price elasticity
• perfectly inelastic means no substitutes so people must buy it regardless of price
• an example of a perfectly inelastic good is blood transfusions
• economic system is the way resources are allocated through the public or private sector in an economy
• Perfectly Inelastic Good


  A good with an infinite price elasticity of demand, meaning the quantity demanded does not change with price.
• Perfectly Elastic Good


  A good with a zero price elasticity of demand, meaning any increase in price will result in a demand of zero.
• Perfectly Inelastic Good


  Quantity demanded remains constant, regardless of the price.
• Perfectly Elastic Good


  Quantity demanded changes drastically with even the smallest change in price.