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Essay

Elasticity

Essay specific features

 

Issue:

Miscellaneous

 

Written by:

Alfonso R

 

Date added:

June 1, 2015

 

Level:

University

 

Grade:

A

 

No of pages / words:

3 / 581

 

Was viewed:

4473 times

 

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Essay content:

Economists frequently measure elasticity because they want to compare markets such as apples to oranges and it does not matter how price or quantity is measured, thus elasticity is a unit-free measurement. It allows economists to quantify the differences among markets without standardizing units of measurement...
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Demand elasticity is the degree to which a change in price effects changes in demand and supply elasticity is when supplies of an item go up the price comes down and vice versa if price goes up supply goes down. Within each type of elasticity we can have price and income elasticities. Price elasticities occur when either the quantity of an item demanded or supplied is responsive to a change in price...
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