4-3: W HAT IS E LASTICITY OF D EMAND ?. W HAT IS ELASTICITY OF DEMAND ? Elasticity of demand: a measure of how responsive consumers are to price change.
4-3: What is Elasticity of Demand?. What is elasticity of demand? Elasticity of demand: a measure of how responsive consumers are to price change Demand.
Microeconomics Lesson 2. Topics 1. Homework 2. Review Supply and Demand 3. Floors and Ceilings 4. Elasticity 5. Consumer Choice.
Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Principles of Microeconomics by Frank, Bernanke and Jennings Slides prepared by Nahid Khan 4-1.
Individual & Market Demand Chapter 4. 4 main topics related to Individual & Market Demand 1. Use the Rational Choice model Derive an individual’s demand.
Elasticity & Total Revenue Chapter 5 completion…..
Chapter 14 THE PARTIAL EQUILIBRIUM COMPETITIVE MODEL Copyright ©2002 by South-Western, a division of Thomson Learning. All rights reserved. MICROECONOMIC.
Chapter 2: External Environment Chapter 2 External Environment.
