The document discusses the concept of price elasticity of demand in microeconomics. It defines price elasticity of demand and explains the five types: unit elasticity, more elastic, more inelastic, perfectly inelastic, and perfectly elastic. For each type, it provides an example and calculation to illustrate how price elasticity is measured using the percentage change in price and quantity demanded. Factors that can influence a good's price elasticity are also outlined.

10. Microeconomics Price Figure 1.1 Unit Elasticity 0 D '' 120 Quantity demand 150 3 4 E D = –1 A Unit Elastic Demand Curve

15. Microeconomics Figure 1.2 More Elasticity 0 D Quantity demand 160 120 3 E D > 1 A More Elastic Demand Curve Price

19. Microeconomics Figure 1.3 More Inelastic 0 D Quantity demand 4 3 120 140 A More Inelastic Demand Curve E D < 1 Price

23. Microeconomics A Perfectly Inelastic Demand Curve Figure 1.4 Perfectly Inelastic Quantity 0 D' E D = 0 120 3 4 Price

27. Microeconomics Price Figure 1.4 Perfectly Elastic A Perfectly Elastic Demand Curve 0 D E D = 4 Quantity 120 150

30. Thank You

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