Which one of the following statements is incorrect? * A. THE PRICE ELASTICITY OF DEMAND IS EXPRESSED AS A RATIO WHICH IS KNOWN AS THE ELASTICITY COEFFICIENT. * B. WHEN CALCULATING THE PRICE ELASTICITY OF DEMAND, ONE HAS TO TAKE THE ABSOLUTE VALUE OF THE RESULT. * C. IF THERE ARE LARGE FLUCTUATIONS IN PRICE, THE ARC ELASTICITY FORMULA SHOULD BE UTILISED. * D. IF THE ELASTICITY COEFFICIENT IS CALCULATED AT A PARTICULAR POINT ON THE DEMAND CURVE, IT IS CALLED THE ARC ELASTICITY.

/in /by

Which one of the following statements is incorrect?
* A. THE PRICE ELASTICITY OF DEMAND IS EXPRESSED AS A RATIO WHICH IS
KNOWN AS THE ELASTICITY COEFFICIENT.
* B. WHEN CALCULATING THE PRICE ELASTICITY OF DEMAND, ONE HAS TO
TAKE THE ABSOLUTE VALUE OF THE RESULT.
* C. IF THERE ARE LARGE FLUCTUATIONS IN PRICE, THE ARC ELASTICITY
FORMULA SHOULD BE UTILISED.
* D. IF THE ELASTICITY COEFFICIENT IS CALCULATED AT A PARTICULAR
POINT ON THE DEMAND CURVE, IT IS CALLED THE ARC ELASTICITY.

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