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Episode 373: Elasticity vs. Inelasticity of Demand

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Manage episode 390749026 series 2555947
Content provided by Jared Dillian Money and Jared Dillian. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by Jared Dillian Money and Jared Dillian or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://player.fm/legal.

There are points in time when producers have pricing power, and there are other times when they don’t. This concept is known as demand elasticity. If something has elastic demand, companies can’t raise prices much or else demand will go down. On the flip side, if something has inelastic demand, it doesn’t matter how much prices increase because people will still pay for it. In this episode of the BE SMART podcast, Jared discusses how demand elasticity impacts consumer spending habits, people’s perception of value, and whether you should ditch a company like Netflix when it jacks up its monthly subscription price.

  continue reading

145 episodes

Artwork
iconShare
 
Manage episode 390749026 series 2555947
Content provided by Jared Dillian Money and Jared Dillian. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by Jared Dillian Money and Jared Dillian or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://player.fm/legal.

There are points in time when producers have pricing power, and there are other times when they don’t. This concept is known as demand elasticity. If something has elastic demand, companies can’t raise prices much or else demand will go down. On the flip side, if something has inelastic demand, it doesn’t matter how much prices increase because people will still pay for it. In this episode of the BE SMART podcast, Jared discusses how demand elasticity impacts consumer spending habits, people’s perception of value, and whether you should ditch a company like Netflix when it jacks up its monthly subscription price.

  continue reading

145 episodes

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