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Income Elasticity of Demand. If the two goods are substitutes the cross elasticity of demand is positive. Income And Cross Elasticity Of Demand Notes Videos Qa And Tests Grade 12 Economics Elasticity It S Measurement Kullabs To explain the extent of the effect of the economic variables on the quantity demanded we have 5 other types of elasticity of demand which are perfectly elastic perfectly inelastic relatively elastic relatively inelastic and unitary elastic. . The income elasticity of demand is the proportional change in the quantity demanded relative to the proportional change in the income. 2 Income Elasticity of Demand Income is one of the factors that influence the demand for a product. More is purchased as the income increases. Cross-price elasticity of demand change in Qd of good A change in price of good B. There are three main types of elasticities of demand. Income Elasticity of Demand. Low-In...