The demand schedule for pens is given below 25 – 50 and 20 – 100

The demand schedule for pens is given below

Price of Pen (Rs. per pen)Quantity Demanded

Calculate the price elasticity of demand and determine the type of price elasticity.


P= 25
Q = 50
P1= 20
Q1 =100

Therefore, a change in the price of pens is:


In the above calculation, a change in price shows a negative sign, which is ignored. This is because price and demand are inversely related which can yield a negative value of price (or demand). Similarly, a change in quantity demanded of pens is:

Solution of economics

The price elasticity of demand for bread is 5, which is greater than one. Therefore, in such a case, the demand for pens is relatively elastic.