Price Elasticity of Demand

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Written by:

Douglas T


Date added:

December 7, 2010








No of pages / words:

8 / 2237


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6143 times


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I intend to show how the recent fluctuations in the price of gasoline in the United States apply to the basic economic principle of Price Elasticity of Demand. I will show, through research of economic data how the demand for fuel has responded to the sales price at the pump in recent years as well as during the oil crisis of 1973 and 1980...
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Although the recent rise in price at the pump has been a burden on most of us, the economic and personal impact seems to have been far less than that of the oil shortages in 1973 and 1980. In 1973 Arab oil exporting countries refused to sell oil to nations that supported Israel in the Arab-Israel war...
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