Economics A-Level
Elasticity of demand
What Elasticity of demand means in Economics A-Level, as defined for AQA.
Definition of Elasticity of demand
Check what you remember
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Reference: AQA
Differing elasticities across sub-markets lead to different profit-maximising prices, with a higher price in the inelastic sub-market and a lower price in the elastic sub-market.
Topics that use Elasticity of demand
- Price discrimination (AQA A-Level)
Related terms
- Allocative inefficiency
- Arbitrage
- Consumer surplus
- Equity
- Monopoly power
- Price discrimination
- Producer surplus
- Profit maximisation
Using Elasticity of demand in the exam
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