Factors which influence the price elasticity of demand


There are 4 factors that influence the price elasticity of demand:

The availability of substitutes

The specific nature of the good

The part of income spent on the good

The time consumers have to buy the good

In a 2-4 paragraph Discussion Board post, discuss the following:

Choose a product you have purchased in the past month from a clothing or shoe store.

Describe how each of the 4 factors contributed to the elasticity of the good.

Is the product considered elastic, inelastic, or unitary elastic?

In a few sentences, what effect does the current supply and current demand have on this product?

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Macroeconomics: Factors which influence the price elasticity of demand
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