MECO211

• PRICE ELASTICITY OF SUPPLY

  • A change in price, which results in a greater change in quantity supplied.
• CROSS ELASTICITY OF DEMAND

  Degree of responsiveness of a demand for a good to a change in the price of a related good.
• PRICE INELASTIC DEMAND

  • A change in price, which results to a lesser change in quantity demanded.
• INCOME ELASTICITY OF DEMAND

  A change in price, which creates no change in quantity demanded.
• SUPPLY ELASTICITY

  The degree of responsiveness of quantity demanded to a small change in the income of the consumer.
• QUANTITY SUPPLIED

  • Reaction when there is a change in the prices of commodities.
• UNITARY ELASTICITY

  A change in price, which results to an equal change in quantity supplied.
• INFINITE OR PERFECT ELASTICITY

  • A situation wherein even without change in price, there is an infinite change in quantity supplied.
• TIME

  The principal determinant of supply elasticity.
• PRICE ELASTICITY OF DEMAND

  • Reaction or response of a buyer if the prices of goods and services change.