Edexcel IGCSE Economics 1.1.4.c calculate PED
Practise PED calculation questions by dividing percentage changes, showing working and interpreting elastic or inelastic demand.
- Syllabus
- First assessment 2019
- Course
- Economics 4EC1
Exam points
- Calculate PED from given percentage changes and round to two decimal places.
- Use a previous PED value to state whether demand is elastic or inelastic.
1.1.4.c Calculating PED question 1
[Maximum number: 2]
Alfie provides a dog-walking service to dog owners in his local area. After a successful first year he increased prices by 1.5% and quantity demanded fell by 1.1%.
Calculate, to two decimal places, the price elasticity of demand (PED) for Alfie's dog-walking service. You are advised to show your working.
AO2 2 marks
Award 1 mark for showing correct calculation
-1.1/1.5 (1)
Award 1 mark for correct PED
= -0.73 (1)
Award 2 marks if PED is correctly calculated as -0.73 , even if no calculations are shown
Do not award marks for a formula
(2)
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