Question

what is income elasticity and its types?​

Answer 1

Answer:

High: A rise in income comes with bigger increases in the quantity demanded. ... Unitary: The rise in income is proportionate to the increase in the quantity demanded. Low: A jump in income is less than proportionate than the increase in the quantity demanded.

Explanation:

please give me thanks

Answer 2

Answer:

the responsiveness of quantity change in demand for good or service to the change in income

Explanation:

the formula for calculating income elasticity of demand is

= % change in quantity demanded/ % change in income

types

1) unitary elastic

2) perfectly elastic

2) inelastic

3) relatively inelastic

4) relatively elastic