Elasticity, Microeconomics

Assignment Help:
not that long ago we experienced the excitement of thinking we would have cheaper online books and free music. these visions that we had of a free market utopia that blinded us to the fact there were immutable facts about economics and one of the standards is price elasticity, unfortunately some dwell on the potential still. Those early days of e-books held the much promise for such a short time. E-goods are returning to the price levels which we thought they had left behind, again the inevitable price elasticity. The question I have is this...why is it so certain that price elasticity will cause those prices to return to levels they were at instead of staying lower based on the new technology?

Related Discussions:- Elasticity

Demand, #questASSIGNMENT #1 The demand function for Product X is given by: ...

#questASSIGNMENT #1 The demand function for Product X is given by: Qdx = 80- 2Px- 0.05P²x -0.2Py + 4Pz + 0.01I+ 2A Where: Px Price of good X $120.00 Py Price of related good y $100

Functions and resources of the world bank, Functions and Resources of the B...

Functions and Resources of the Bank  The main functions of the Bank are as follows: •  to assist in reconstruction and development of the territories of it member-governmen

Supply and demand, Suppose scientists discover that eating soybeans prevent...

Suppose scientists discover that eating soybeans prevents cancer and heart disease

Labour economics, Much of the supply-side, fiscally conservative economic p...

Much of the supply-side, fiscally conservative economic policies of Margaret Thatcher, Ronald Reagan, and even Mike Harris in Ontario were predicated on the belief that high income

MRTS & MRS, What is the difference between MRTS & MRS?

What is the difference between MRTS & MRS?

Production, define and explain theory of production?

define and explain theory of production?

Law of demand, "price is becoming cheaper,yet the demand for car is not ris...

"price is becoming cheaper,yet the demand for car is not rising".does it mean law of demand is not operative?

Define the circular flow diagram, The circular flow diagram is used to repr...

The circular flow diagram is used to represent the interdependence that exists between sectors of the economy.  The diagram illustrates that there are various collections of same e

True or false , The efficiency loss of a tax is the tax revenue collected b...

The efficiency loss of a tax is the tax revenue collected by government minus the value of the public goods financed through the tax. Why is this false?

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd