Cryptocurrency Q&A
How to determine elasticity of demand?
How to determine elasticity of demand?
SkylitEnchantment
Tue Jan 21 2025
|
6
answers
1329
I'm trying to figure out how to calculate the elasticity of demand for a product. I want to understand how changes in price affect the quantity demanded by consumers.
Previous
What is the difference between Travelex online and in-store exchange rates?
Next
What are the unethical practices in business?
6 answers
EnchantedSky
Thu Jan 23 2025
It is calculated by dividing the percentage change in quantity demanded by the percentage change in price.
Was this helpful?
183
25
BlockchainBaron
Thu Jan 23 2025
This metric helps businesses understand how sensitive consumers are to price fluctuations.
Was this helpful?
342
81
ZenBalanced
Thu Jan 23 2025
A high elasticity indicates that consumers are price-sensitive and a small price change can lead to a significant change in demand.
Was this helpful?
183
21
Nicola
Thu Jan 23 2025
Demand elasticity measures the responsiveness of quantity demanded to changes in price.
Was this helpful?
222
97
Rosalia
Thu Jan 23 2025
Conversely, a low elasticity suggests that consumers are less price-sensitive and demand remains relatively stable despite price changes.
Was this helpful?
271
85
Load 5 more related questions
