Price elasticity measures which of the following?

The responsiveness of a change in quality in relation to a change in quantity.

The responsiveness of a change in quantity to a change in price.

How much the price goes down.

How much the price goes up.

1 answer

Price elasticity measures the responsiveness of a change in quantity to a change in price. Specifically, it quantifies how much the quantity demanded or supplied of a good or service changes in response to a change in its price.