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Microeconomics
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of Demand Quick Notes
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Why are people less sensitive to price changes when it comes to gasoline, eggs, or milk? It has to do with price elasticity. Gasoline is inelastic, versus other goods are Elastic. In this video I explain the differences between the two! I hope you enjoy this economics lesson ;) Follow for more explainers on personal finance, investing, and economics! #tiktokencyclopediacontest
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In your first Microeconomics class, your professor might overcomplicate Elasticity... There are FIVE things that you need to grasp in order to not miss questions on your next exam: 0:11 - Elastic vs. inelastic 0:44 - Price elasticity (this is for supply or demand) 1:42 - Income vs. cross-price elasticity 3:25 - Midpoint method 5:00 - Elasticity zones for supply vs. demand Now, if you're absolutely screwed for your next exam... And feel like all hope is lost... That you are bound to fail... We ca
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