Why Price Elasticity Of Demand Is Always Negative?


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Price elasticity of demand  is concerned with the change in demand due to change in price of a product.there are several ways to calculate price elasticity. Lets take a example of percentage method.
We have a product x ,
  price=25 rs per piece ,demand=30 pieces daily  
if we increase the price of x then,price= 20 rs per piece
    and demend=40 pieces daily   p=5/25*100=20%   elasticity= percentage change in demand   percentage change in price   d=10/30*100=33.3%
  =20/33.3=0.6 ans price elasticity is always negative because price decreases ok that"s point.

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