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VMariaS [17]
3 years ago
12

The relationship between the price of a good or service and the quantity demanded of that good or service described by the law o

f demand is
Business
1 answer:
Klio2033 [76]3 years ago
8 0

This relationship described between the price and the quantity demanded is known as the <u>Price Elasticity of Demand (PED). </u>

<h3>What is the Price Elasticity of Demand?</h3>
  • It is a measure that shows the relationship between the price of a good and the quantity demanded of it.
  • Shows how sensitive quantity demanded is to a change in price.

When the PED is less than 1, it means that a change in price doesn't affect the quantity demanded as much. When it is more than 1, a change in price will lead to an even higher change in quantity demanded.

In conclusion, this is the Price Elasticity of Demand.

Find out more on PED at brainly.com/question/9235198.

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Historical Art is a new business. During its first year of operations, credit sales were $50,000 and collections from credit sal
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