Turner%20Economic%20Review%2020_2_%202002.pdf (94.86 kB)
Download fileInterpreting economic data: estimating the elasticity of demand
journal contribution
posted on 2005-11-21, 15:49 authored by Paul TurnerThe concept of elasticity of demand is one of the most important in economics. At its
most general level the elasticity of demand measures the percentage response in demand
to a given percentage change in some other variable of interest. For example, we are
often interested in the response of demand to changes in the price of the good concerned
price – the own price elasticity of demand – but we may also be interested in the response
to changes in income – the income elasticity of demand – or changes in the prices of other
goods – the cross price elasticity of demand. In a recent article for the Economic Review,
Mark Russell shows how useful the concept of elasticity of demand can be for both
economists and the business community. He also shows how demand elasticities can be
calculated and gives examples of how they might be used in practice...
History
School
- Business and Economics
Department
- Economics
Pages
67424 bytesCitation
TURNER, P., 2002. Interpreting economic data: estimating the elasticity of demand. Economic Review, 20(2), pp. 30-33Publisher
© Phillip Allan UpdatesPublication date
2002ISSN
0265-0290Language
- en