Type Formula Others

Price elasticity of Point elasticity: Degree of :

demand  inelastic
 elastic
Arc elasticity:  unitary elastic

TR and :
1. Elastic demand:
Decrease P to increase TR

2. Inelastic demand:
Increase P to increase TR

3. Unitary elastic:
No change in P

Income elasticity Point elasticity: 1. Negative = inferior goods

of demand
2. Positive = normal goods
Arc elasticity:  necessity
 luxury

Cross elasticity of Point elasticity: 1. Positive  substitute

demand relationships
2. Negative 
Arc elasticity: complementary
relationships

Advertising Point elasticity: 3. Positive  direct

elasticity of relationships
demand 4. Negative  indirect
Arc elasticity: relationships