Identify the current formula for elasticity of demand.
Answer & explanation
Correct answer: option 1
The correct answer is option(1) : $e_d=\frac{ΔQ}{Q}×\frac{P}{ΔP}$
$e_d$=percentage change in demand for the good/percentage change in the price of the good
$e_d=\frac{ΔQ}{Q}×\frac{P}{ΔP}$