Name; Almario, Christine Joy D.
Block: BSA-2B
MIDTERM POINTERS
MODULE 5: ELASTICITY AND ITS APPLICATIONS (GROUP 5 & GROUP 6)
1. ELASTICITY – It is a measure of the responsiveness of quantity demanded or quantity supplied
to one of its determinants.
2. The two categories of goods are:
• ELASTIC goods
• INELASTIC goods
3. The determinants of Price Elasticy are :
• Availability of Substitutes
• Definition of Market
• Time Period
• Proportion of Income Spent on Goods
4. Three types of Elasticity of Demand are :
• Price elasticity of demand
• Income elasticity of demand