Part I. Identification Directions: Please read the sentences carefully. Identify the the word or phrase that is appropriate to each item. 1. A shows the relationship between quantity demanded and price in a given market on a graph. 2. The states that, higher the price, the higher the quantity supplied. 3. means that a given percentage changes in price leads to an equal percentage change in quantity demanded or supplied. 4. _means the effect on the change in demand of one good as a result of a change in price of related to another product. 5. those goods for which the demand rises as consumer income rises. 6. the coefficient of the elasticity is less than 1; when an increase in price causes a smaller % fall in demand. Part II. Enumeration on Price Elasticity of Goods Directions: Please conduct a survey or observe the market in your vicinity. This can make you aware of your environments. Give examples of goods considered as elastic and inelastic. You may work with your parents and siblings. ELASTIC GOODS INELASTIC GOODS 2 2 3 3 4 4