{"id":4850,"date":"2017-07-01T02:50:37","date_gmt":"2017-07-01T02:50:37","guid":{"rendered":"https:\/\/courses.lumenlearning.com\/wm-macroeconomics\/chapter\/outcome-explaining-elasticity\/"},"modified":"2017-11-03T17:46:22","modified_gmt":"2017-11-03T17:46:22","slug":"introduction-to-elasticity","status":"publish","type":"chapter","link":"https:\/\/courses.lumenlearning.com\/oldwestbury-wm-macroeconomics\/chapter\/introduction-to-elasticity\/","title":{"raw":"Introduction to Elasticity","rendered":"Introduction to Elasticity"},"content":{"raw":"

What you\u2019ll learn to do: explain\u00a0the concept of elasticity<\/h2>\r\n\"\"<\/a>\r\n\r\nElasticity is an economics concept that measures the responsiveness of one variable to changes in another variable. For example, if you raise the price of your product, how will that affect\u00a0your sales numbers? The variables in this question are price<\/em> and sales numbers<\/em>. Elasticity explains how\u00a0much one variable, say\u00a0sales numbers, will change in response to another\u00a0variable, like the price of the product.\r\n\r\nMastering this concept resembles learning to ride a bike: it's tough at first, but when you get it, you won't forget.\u00a0A rookie mistake is learning the calculations of elasticity but failing to grasp\u00a0the idea. Make sure you don\u2019t do this!\u00a0First take time to understand the concepts\u2014then the calculations can be used simply to explain them in a numerical way.","rendered":"

What you\u2019ll learn to do: explain\u00a0the concept of elasticity<\/h2>\n

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Elasticity is an economics concept that measures the responsiveness of one variable to changes in another variable. For example, if you raise the price of your product, how will that affect\u00a0your sales numbers? The variables in this question are price<\/em> and sales numbers<\/em>. Elasticity explains how\u00a0much one variable, say\u00a0sales numbers, will change in response to another\u00a0variable, like the price of the product.<\/p>\n

Mastering this concept resembles learning to ride a bike: it’s tough at first, but when you get it, you won’t forget.\u00a0A rookie mistake is learning the calculations of elasticity but failing to grasp\u00a0the idea. Make sure you don\u2019t do this!\u00a0First take time to understand the concepts\u2014then the calculations can be used simply to explain them in a numerical way.<\/p>\n\n\t\t\t

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Candela Citations<\/h3>\n\t\t\t\t\t
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