In order for a small-business order to price her products or services correctly, she must be able to understand what impact that price will have on demand. In some cases, demand will rise or fall with ...

A customer normally buys a cup of coffee and one doughnut on the way to work in the morning. However, for one day only, the coffee shop has dropped the price of doughnuts by 30 percent. The customer ...

Economists use elasticity of demand to gauge how responsive consumers are to changes in price and income, but investors can also use elasticity of demand to help make more informed investing decisions ...

The elasticity of demand measures exactly this: how does the quantity demanded by consumers change in relation to changes in prices. In other words, how much can the seller ‘stretch’ prices (like an ...

Demand elasticity is a phenomenon where demand for a specific good or service changes depending on factors such as how it is priced, whether alternatives are available or local income trends.

In an important new study, world-renowned economists -- including a Nobel Prize winner and a MacArthur "genius" -- argue that when demand for a good is inelastic, the cost of making consumption ...

I contend that Netflix customers are highly price inelastic in their demand for the company's streaming service. Therefore, Netflix could increase its pricing without losing a significant number of ...

This paper analyses expenditure and price elasticities of demand for rice consumption in Thai households. The elasticities were measured from cross-sectional data of a socio-economic survey conducted ...