In each of the following pairs, tick which of the two items is likely to have the more elastic demand. Give reasons for your answer.(a) petrol(all brands). ESSO petrol(b) Holidays abroad. Bread(c) Salt. Clothing

ECONOMIC FOR BUSINES Workshop 3 Business in a Market Environment 1. (a) The price elasticity of demand measures the responsiveness of the quantity demanded / price to a change in the quantity demanded / the quantity supplied / price. [Delete wrong words.] (b) Give the formula for price elasticity of demand. 2. In the mid 1990s, the government in the ise in the price cigarettes, the demand is likely to fall rect, what is the alue of the price elasticity of bus or demand Page