How to calculate expenditure elasticity
The expenditure elasticity is a measurement of how expenditure on a good changes in response to a price change. The…
Category: Microeconomics
Cross price elasticity of demand
Cross-price elasticity formulaComplementary goodSubstitute good Cross-price elasticity formula The cross-price elasticity of demand measures the responsiveness of a good to…
Types of price elasticity of demand
The elasticity of demand () measures the responsiveness of demand to a change in price. It is defined as the…
MaxiMin Strategy/MiniMax strategy
In game theory, Maximin/Minimax are strategies used when playing games. The strategy in this case is to maximize the smallest possible…
Consumer part of dead weight loss, Producer part of dead weight loss and total dead weight loss
This post will cover dead weight loss. In particular, what is the burden on consumers and producers. The following supply-and-demand…