Question

What is zero income elasticity of demand?

Answer 1

Answer:

(YED=0): A change in income has no effect on the quantity bought. ... Negative income elasticity of demand (YED<0): An increase in income is accompanied by a decrease in the quantity demanded.

Answer 2

$\huge\bold\Red{Hello !}$

$\huge\bold\green{Zero\:Income\:elasticity\:of\:demand :-}$

Zero elasticity refers to the extreme case in which a percentage change in price, no matter how large, results in zero change in quantity.

• Constant unitary elasticity in either a supply or demand curve refers to a situation where a price change of one percent results in a quantity change of one percent.