Question

Describe the price elasticity of demand with diagrams?

Answer 1

The price elasticity of demand simply shows that to what extent the demand will change (increase or decrease, generally in percentage) for a 1% change in the price level. A small change in price may have a large effect on demand if the demand curve is relatively flatter. A large change in price may have smaller effect in demand when the demand curve is relatively steeper. 

Here are the diagrams that show all possible types of elasticity: