Wednesday  March 22, 2023
 AmosWEB means Economics with a Touch of Whimsy!
 POTENTIAL GROSS DOMESTIC PRODUCT: The total output that the economy could produce if resources were at full employment. If the economy is at full employment (a 5 percent unemployment rate) then actual gross domestic product is equal to potential gross domestic product. Of course, if the unemployment rate is greater than 5 percent, then actual production is less potential production. By calculating potential gross domestic product, we can figure out exactly how far below this potential we are. This information then can be used by the pointy-headed government economists to recommend appropriate monetary or fiscal policies.
 Most Viewed (Number) Visit the WEB*pedia

 Lesson Contents Unit 1: An Overview Elasticity And Demand Price Elasticity Of Demand Upon Further Review Unit 1 Summary Unit 2: The Continuum Relative Adjustments Five Alternatives Three Of Five Two Of Five Unit 2 Summary Unit 3: Measurement Doing The Numbers A Range Of Values The Demand Curve Slope And Elasticity Changing Elasticity Total Revenue Expenditures And Elasticity Unit 3 Summary Unit 4: Determinants Substitute Availability Time Period Budget Proportion Unit 4 Summary Unit 5: Other Measures Price Elasticity Of Supply Income Elasticity Of Demand Cross Elasticity Of Demand Unit 5 Summary Course Home
Elasticity and Demand

Elasticity is the relative responsiveness of one variable to changes in another variable. Economists find this notion of elasticity quite useful in the study of markets. In this lesson, we examine the basics of demand elasticity, especially the price elasticity of demand.

• The first unit of this lesson, An Overview, gets us started with a review of several concepts related to elasticity and demand.
• In the second unit, The Continuum, we take a close look at how the five elasticity alternatives are reflected by demand curves.
• The third unit, Measurement, runs through some numbers for measuring the price elasticity of demand, and how elasticity values related to a straightline demand curve.
• The fourth unit, Determinants, examines how the three determinants of elasticity affect the elasticity coefficient.
• The fifth unit and final unit, Other, closes this lesson by introducing examine three related elasticity measures.

|

CETERIS PARIBUS

A Latin term meaning that other factors remain unchanged. Ceteris paribus is commonly used as an assumption when conducting a wide variety of economic analyses. By holding everything else constant, the ceteris paribus assumption makes it possible to identify the cause-and-effect relation between two factors. Relaxing the ceteris paribus assumption is the primary analytical technique used in the comparative statics study of economics.

 YELLOW CHIPPEROON[What's This?] Today, you are likely to spend a great deal of time waiting for visits from door-to-door solicitors hoping to buy either a T-shirt commemorating yesterday or a pair of handcrafted oven mitts. Be on the lookout for infected paper cuts.Your Complete Scope
 One of the largest markets for gold in the United States is the manufacturing of class rings.
 "Most of the things worth doing in the world had been declared impossible before they were done."-- Louis D. Brandeis, Supreme Court Justice
 ACCRAnnual Cost of Capital Recovery
 Tell us what you think about AmosWEB. Like what you see? Have suggestions for improvements? Let us know. Click the User Feedback link.

| | | | | | | | | | |
| | | |

Thanks for visiting AmosWEB