A business' demand for a good is based on the price of the good. When prices rise, the business will buy less of the good. When prices drop, the business will purchase more of the good. A business' ...

Income elasticity measures the relationship between sales and consumers' incomes, according to business expert, Graeme Pietersz, at Moneyterms.co.uk. Small-business sales are likely to fall when ...

Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...

Discover the key factors affecting demand elasticity, including type of good, price, income, and substitutes, and learn how these influence consumer behavior.