Question: QUESTION FOUR a) Define both price elasticity of demand and income elasticity of demand. (4 marks) b) State and explain the main factors that

QUESTION FOUR a) Define both price elasticity of demand and income elasticity

QUESTION FOUR a) Define both price elasticity of demand and income elasticity of demand. (4 marks) b) State and explain the main factors that determine the price elasticity of demand. (6 marks) c) Explain briefly why a business manufacturer of goods will find it is important to know the price and income elasticity of demand for his products. (5 marks)

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