calculate the quantity demanded of a commodity when the price increases from rupees 4 to 6 rupees the original quantity demanded was 40 units and the price elasticity of demand is 0.5
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please make sure that the question is correct because in this case price elasticity must be negative
as according to law of demand with increase in price the quantity demanded will decrease
and in this question with positive elasticity of demand the quantity demanded is also increasing with increase in price which is not possible.
Thank you.
ciyapradhan:
There is no mistake in this question and the price elasticity of demand is in positive that is 0.5.
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