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 ...

Economics is a social science that studies the collection, allocation and distribution of economic resources. Business owners use the study of economics to help them make business decisions. Not only ...

The concept of price elasticity of demand (PED) is fundamental to understanding the nature of demand. PED measures the ...

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 ...

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.

One, tackle by price; the other, tackle with data. Price elasticity plays an important role in business. If a product price is raised or lowered and demand changes little, it is price inelastic. If ...

The price elasticity of demand is a crucial concept in investing. It helps investors understand whether a company has pricing power or not. Can it boost profits by raising prices, leading to increased ...

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 illegal ...

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

This is a preview. Log in through your library . Abstract A recent development in microeconomic theory suggests that the size of the elasticity of substitution between factors is relevant to economic ...