The concept of elasticity of demand and supply

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Elasticity of demand is the degree (measure) of the responsiveness of for a commodity to changes in a factor that influences its . The basic factors that influence quantity demanded of a commodity include changes in its price, the price of other goods, changes in income of the consumer, advertising and the like. Elasticity of demand shows the extent to which the for the commodity changes because of a proportionate change in any of the factors affecting .
Price elasticity of demand is the measure of responsiveness of of a commodity to changes in its own .
Unit(unitary)price elasticity of demand is where the proportionate change in price of a commodity results into same proportionate change in such that the elasticity coefficient is equal to . The size of the percentage change in demand is the same as that of price change.
In this case, the elasticity is greater than but less than infinity. this indicated a relatively large demand reaction to a relatively small price change. The price elasticity of Demand for the commodity is price elastic or price elasticity of demand is high. It would benefit the seller to reduce the slightly price of the commodity which would cause a relatively large increase in quantity demanded which raises his revenue.
in case of a perfectly elastic demand, any quantity of a commodity is demanded at a given constant price. Any slight change in of the commodity results in demand for the commodity.
The Cross elasticity coefficient is if the two commodities are substitutes because a change in price of one commodity causes a change in demand of the substitute in the same direction. Beans and peas is a possible example of goods that are substitutes; an increase in the price of beans relative to the price of peas results in in the of peas because people lower their demand for beans due to the higher price in preference for peas whose price is lower. The more the two commodities are substitutable, the their cross price elasticity; the cross elasticity is much higher for commodities that are close substitutes and it is lower for distant (poor) substitutes.
If cross elasticity coefficient is , the two commodities are Complementary in nature. The price of the commodity and the for the other commodity change in the opposite direction. For example, a rise in price for shoes leads to a fall in quantity demanded for shoe polish because of a reduction in the quantiy demanded for shoes jointly used with the shoe polish. On the other hand, a fall in price of shoes results in an increase in quantity demanded for the shoes and shoe polish as well.
If the two commodities are not related at all, the cross elasticity of demand is equal to .
The coefficient of Income elasticity of demand is positive if the commodity is a good, because an increase in income level of the consumer results into an increase in
demand for the commodity while a decrease in their income level results into a in demand in the demand.
Elasticity coefficient is if the commodity is an Inferior good because an increase in income results into a in consumption of the commodity in favour of other (superior)goods while decrease in income of the consumer results into an in demand of the inferior good.
If the coefficient is , such a commodity is a necessity and therefore consumed in the same quantity despite the change in income. Any increase in income is not associated with a change in the quantity demanded of the good.
Elasticity of supply is the degree of responsiveness of quantity of a commodity to changes in any of the factors that affect supply.
The coefficient of Price elasticity of supply is usually because as the price of the commodity increases the quantity supplied also and as the price reduces the quantity supplied .
Elastic supply is a situation where by a given percentage change in price of a commodity leads to a percentage change in quantity supplied. For elastic supply the coefficient of price elasticity of supply is greater than but less than infinity.