Price Elasticity

Price Elasticity

“The measurement of how responsive an economic variable is to a change in another. It gives answers to questions such as ‘If I lower the price of a product, how much more will sell?’” (related: Giffen good — “a product that people consume more of as the price rises and vice versa.”)

Source:
Gabriel Weinberg’s Mental Models I Find Repeatedly Useful

2018-09-24T06:30:35+00:00