A perfectly inelastic demand curve is vertical. The difference between elasticity and slope. The value of the coefficient of elasticity is determined by the slope of the demand curve and the point on the demand curve in which we are interested. D. Point elasticity 1. Point elasticity measures the elasticity of demand at a specific point on the demand curve.
Arc elasticity measures the elasticity of demand between two points on a demand curve.
Determinants of price elasticity of demand A. Available substitutes 1. As the number of available substitutes for a good increases, so does the price elasticity of demand for that good. B. Cost of the good relative to total income 1. As the percentage of total income spent on a good increases, so does the price elasticity of demand for that good. C. Time and the availability of substitutes 1.