4.6.1 Elasticities

Course subject(s) 4. Transport decarbonization II

In this video, Dr. Natalia Barbour further explains the concept of elasticities, their types and how to calculate them and understand the meaning of their values.

Key takeaways:

  1. Price elasticity of demand is expressed by e = (Dq/q)/(Dp/p)
  2. Price elasticity of demand is calculated by dividing the percentage change in demand by the percentage change in price.
  3. Cross-price elasticity implies a percentage change in the demand for a change in price of another good.
  4. Cross-price elasticity is often positive.
Creative Commons License
Designing Climate-Neutral Buildings and Transport by TU Delft OpenCourseWare is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.
Based on a work at https://online-learning.tudelft.nl/courses/designing-climate-neutral-buildings-and-transport/ /
Back to top