explain in detail the measurement of price elasticity of demand??
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The price elasticity of demand is measured by its coefficient (Ep). This coefficient (Ep) measures the percentage change in the quantity of a commodity demanded resulting from a given percentage change in its price. ... If EP>1, demand is elastic. If EP< 1, demand is inelastic, and Ep= 1, demand is unitary elastic.
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Price elasticity measures the responsiveness of the quantity demanded or supplied of a good to a change in its price. It is computed as the percentage change in quantity demanded (or supplied) divided by the percentage change in price.
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