Share This Article:

Economic Definition of price elasticity of demand. Defined.

Offline Version: PDF

Term price elasticity of demand Definition: The relative response of a change in quantity demanded to a relative change in price. More specifically the price elasticity of demand can be defined as the percentage change in quantity demanded due to a percentage change in demand price. The price elasticity of demand should be compared with the price elasticity of supply.

 

« price discrimination | price elasticity of supply »

Permalink: https://glossary.econguru.com/economic-term/price+elasticity+of+demand

Alphabetical Reference to Over 2,000 Economic Terms