Demand elasticity is a phenomenon where demand for a specific good or service changes depending on factors such as how it is priced, whether alternatives are available or local income trends.

Price elasticity measures how demand changes with price; it gauges a firm's pricing power. Investors should examine firms' price elasticity to decide if a product has sustainable profit potential.

Crea Taylor / Investopedia Consumer surplus is the economic benefit consumers receive when they pay less than they're willing to pay for a product or service. In supply and demand diagrams, it appears ...

The economic concept, which describes consumers’ sensitivity to prices, is a hot topic as inflation soars and executives fret about profits. By Jason Karaian and Veronica Majerol S&P 500 company ...