Question

.Why does the price elasticity of demand always have negative sign? Support your answer
With graphical presentation.

plz write in detail ​

Answer 1

Answer:

The price elasticity in demand is defined as the percentage change in quantity demanded divided by the percentage change in price. Since the demand curve is normally downward sloping, the price elasticity of demand is usually a negative number.

Explanation:

The value of Price Elasticity of Demand (PED) is always negative, i.e. price and demand have an inverse relationship. This is because the ratio of changes of the two variables is in opposite directions, so if the price goes up, demand goes down and the change will end up negative.

hope it helps

Answer 2

Answer:

The value of Price Elasticity of Demand (PED) is always negative, i.e. price and demand have an inverse relationship. This is because the ratio of changes of the two variables is in opposite directions, so if the price goes up, demand goes down and the change will end up negative.

Answer 3

Answer:

The value of Price Elasticity of Demand (PED) is always negative, i.e. price and demand have an inverse relationship. This is because the ratio of changes of the two variables is in opposite directions, so if the price goes up, demand goes down and the change will end up negative.