What is another word for income elasticity of demand?
Pronunciation: [ˈɪnkʌm ɪlastˈɪsɪti ɒv dɪmˈand] (IPA) 
Income elasticity of demand, also known as IED, is a measure of how responsive the demand for a particular good is to changes in income levels. This concept is important for businesses and policymakers to understand, as it can give insight into how consumers will react to changes in wages or economic conditions. Some synonyms for IED include income responsiveness, income sensitivity, or income dependence. These terms all refer to the extent to which a product's demand is influenced by fluctuations in income. By understanding these nuances, analysts can make more informed decisions about pricing, product development, and marketing strategies.
