CH 5 - Inelastic %change of Qd<%change in price...

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CH 5 Elasticity- Percentage change in price - (new price-old price)/old price Elasticity demand - measures the responsiveness of quantity demanded to a change in a price of a good Calculated by %change of Qd/%change of percent 5 degrees of elasticity Perfectly elastic demand curve -%change of Qd>%change of price -Gift Cards Elastic demand curve %change of Qd>%change price Unite elastic %change of Qd=%change of price
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Unformatted text preview: Inelastic %change of Qd<%change in price Perfectly inelastic %change Qd<%change of price _Insulin Narrowly Defined- more elastic (brand specific) Broadly Defined-inelastic (product as a whole) Time horizon- shorter the time frame the more inelastic you are/longer time frame to more adaptive to change that you are Total Revenue TR- total price and total quantity Total Expenditure TE- PxQ...
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This note was uploaded on 05/03/2011 for the course SPAN 110 taught by Professor Jones during the Fall '10 term at Saint Louis.

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CH 5 - Inelastic %change of Qd<%change in price...

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