Unitary demand

Unitary demand,

Definition of Unitary demand:

  1. A situation that occurs when the price elasticity of demand is equal to negative one (-1). For a business, when a product exhibits unitary demand this means that a given percent shift in the price of the product results in an equal but opposite percent change in the amount of product demanded. Hence, a one percent change in price yields a one percent decline in the amount of product demanded.

Meaning of Unitary demand & Unitary demand Definition