The elasticity of supply is a measure of how responsive the quantity supplied of a certain good is if there's a change in the price of that good. So if the price of oil goes up by 5% what happens to the percentage change in the quantity supplie…
The cross elasticity demand tells you what happens to the demand of one good when there's a change in the price of another good. So basically it can tell you whether two goods are substitutes or whether they're complements. You can calculate…
How to calculate the income elasticity of demand? So income elasticity of demand measures how your demand for a good or service changes as your income goes up or down. As you become wealthy or poor what happens for example, to your demand for candy.…
In this article, we're going to discuss the difference between elastic and inelastic demand. When we talk about inelastic and elastic demand what we're really talking about is the price elasticity of demand and I just want to give you a qui…
The price elasticity of demand is basically just a fraction, it's just a ratio that tells us how responsive the customers or people demanding a good is to a change in the price of that good or service. So for example let's say that we're…
