A community for students.
Here's the question you clicked on:
 0 viewing
 3 years ago
Does anyone know how to explain the concept of elasticity, particularly the fact that the elasticity changes as one moves along the Demand curve?
 3 years ago
Does anyone know how to explain the concept of elasticity, particularly the fact that the elasticity changes as one moves along the Demand curve?

This Question is Closed

angela210793
 3 years ago
Best ResponseYou've already chosen the best response.3elasticity of demand related with price represents the responsiveness of quantity demanded to the price change...(sorry for my broken english but idk these in Eng even though i know in Albanian) dw:1319466313725:dw Hope this helps :) ^_^

bilalak
 3 years ago
Best ResponseYou've already chosen the best response.0Elasticity is low for lowdemand items (luxury). Elasticity is also low for necessity vital products (that are usually right most on the demand curve). The best way to explain it is to use the term elastic. Elastic will stretch when a force is exercised at either end. For example, when a kid try to pull a flexible elastic, she will be a able to make this elastic twice as longer. This represents the high elasticity when a small move of the force (price) will lead to a big move in the length of the elastic (demand). This is a nice example that I give to my students when I discuss micro with them.

SriHari
 3 years ago
Best ResponseYou've already chosen the best response.0I agree with Angela and Bilalak and try to extend the concept of elasticity. when v consider it as a ratio of % change in demand to % change in price, as v move along the demand curve.......@ the middle point of the demand curve the price elasticity = 1 and in the upper part of the demand curve it will be > 1 and lower part of the demand curve it will be <1. this is because as v move from left upper to right lower more and more change v see in demand due to small changes in price........

Jazman
 3 years ago
Best ResponseYou've already chosen the best response.1\[\xi =DeltaQ \div DeltaP\] Elasticity means that if the price changes as 1%, the quantity demanded or supplied will be changed as \[\Delta\] percent. In math, we can see that elasticity will affect the slope of our curve. In economic term, elasticity measures the effect from in every times price changes to its quantity. Why this is so important? Because it will affect the burden in market if there are intervention or nature of consumers and producers.

WWENDT
 3 years ago
Best ResponseYou've already chosen the best response.0ACTUALLY I ASKED THIS QUESTION AS AN EARLY TEST OF HOW "OPEN STUDY" WOULD WORK, BUT IT IS A PLEASURE TO FIND THAT A NUMBER OF STUDENTS UNDERSTAND THE CONCEPT. I HAVE YET TO PRESENT THIS TO MY CLASS, BUT WE WILL TALK ABOUT IT SHORTLY. WMW

WWENDT
 3 years ago
Best ResponseYou've already chosen the best response.0YES, FOR THOSE OF YOU IN INDIA AND ELSEWHERE WHO HAVE TAKEN CALCULUS, THEN THIS IS AN EASY CONCEPT. FOR THOSE WHO HAVE NOT, IT CAN TAKE A "TON" OF EXPLAINING TO GET THIS CONCEPT ACROSS TO THE STUDENTS. CALCULUS MAKES UNDERSTANDING ECONOMICS SO MUCH EASIER. WMW
Ask your own question
Sign UpFind more explanations on OpenStudy
Your question is ready. Sign up for free to start getting answers.
spraguer
(Moderator)
5
→ View Detailed Profile
is replying to Can someone tell me what button the professor is hitting...
23
 Teamwork 19 Teammate
 Problem Solving 19 Hero
 Engagement 19 Mad Hatter
 You have blocked this person.
 ✔ You're a fan Checking fan status...
Thanks for being so helpful in mathematics. If you are getting quality help, make sure you spread the word about OpenStudy.