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Elasticity Quick Quiz

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Test your knowledge on price elasticity basics.

Created by

Montex
Montex
Canada

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Elasticity Quick Quiz
 

Elasticity Quick QuizOnline version

Test your knowledge on price elasticity basics.

by Montex
1

If a good has many substitutes, its price elasticity tends to be higher.

2

Salt is highly elastic, with a large price elasticity of demand.

3

An increase in price always increases quantity demanded.

4

Inelastic demand responds by a more than proportionate change in quantity when price changes.

5

A perfectly inelastic demand has PED = 0.

6

Unit elasticity means PED = 1.

7

The degrees of elasticity include perfectly inelastic, perfectly elastic, and other categories.

8

PED is always positive.

9

Price elasticity of demand measures the responsiveness of quantity demanded to price changes.

 
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