Explain 5 factors that affect price elasticity of demand

1.	Explain 5 factors that affect price elasticity of demand
Answer» 1.nature of commodity :luxuries have more elastic demand as compared to comforts, whereas, necessities have less elastic demand. 2.availability of substitutes :demand is more elastic in case of more substitutes. 3.income level :demand is more elastic in case of lower income groups. 4.level of price :expensive goods are more elastic. 5.time period :demand tends to be more inelastic in short term than in long term.

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