The measurement for the price elasticity of demand is
A)unit free.
B)in percentage terms.
C)in dollar terms.
D)in terms of the quantity measurement of the good involved.
E)in terms of the currency used to purchase the good.

Question

Quizplus · Accepted Answer

Price elasticity of demand is measured as the percentage change in quantity demanded divided by the percentage change in price. Since the percentage change in price and quantity demanded are both unit-free, the measurement for price elasticity of demand is also unit-free.

The Measurement for the Price Elasticity of Demand Is