Friday, July 20, 2018

Determinants of elasticity

Elasticity


An elasticity is a measure of the sensitivity of one variable to another.

The change will occur in one variable which represent the other variable.

 * point elasticity:- point a point on a function.

*Arc elasticity:- Average elasticity over a given range of a function .

*Determiants of economics*

There are two determaints of economics are supply and demand.
Supply is the willingenesd and have a ability of the product to after good in the market for sales at a various price.
* Flexibility of input.
* Mobility of input.
* Durability.
*Time.
*Ability to produce substitute input.

Demand is the cosumer's ability & will to pruschase good at vorious price.
* price of own good .
*price of substitutes /complements.
*Income of consumer.
*Adverstisting other.
*promotional.


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