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When price elasticity of demand for normal goods is calculated, the value is always |
Answer» When price elasticity of demand for NORMAL goods is calculated, the value is ALWAYS Negative. The PED is the percentage change in quantity demanded in response to a one percent change in price. The PED coefficient is usually negative, although economists often ignore the sign. Demand for a good is relatively INELASTIC if the PED coefficient is less than one (in ABSOLUTE value). |
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