How is the text in this section organized to explain the central idea that different factors determine demand elasticity?

How are the three cases of demand elasticity measured?

A baker knows that her customers will pay 5 dollars for a loaf of bread, but the marginal utility they get decreases after the first loaf. How might the baker get her customers to buy more than one loaf?

Explain how quantity and price appear on a graph in economics, and use that information to explain why a demand curve is downward sloping.

What impact does an anti-price gouging law have on an economic system ?

Does a change in consumers' tastes lead to a movement along the demand curve or a shift in the demand curve? Does a change in price lead to a movement along the demand curve or a shift in the demand curve?

Explain why you think, or do not think, that several things could shift the demand curve at the same time.

Explain why you think, or do not think, that several things could shift the demand curve at the same time.

Read the paragraph. Notice that the author put several words in italics. Why do you think this was done?

Sometimes other factors change while the price remains the same. When this happens, people may decide to buy different amounts of a product at the same price. This is known as a change in demand. As a result, the entire demand curve shifts to the right to show an increase in demand, or to the left to show a decrease in demand. This is different than a change in quantity demanded, which is a movement along the demand curve caused by a change in price.

Before the 1973 oil crisis and a spike in gasoline prices, the most popular cars in the United States were large, heavy, and powerful. Beginning in 1974, consumers began purchasing smaller, fuel-efficient cars. Explain how these events are related.

What is the central idea of this section? How does the text present and develop this idea?

In economics, elasticity is a measure of responsiveness that tells how a dependent variable (quantity demanded) responds to a change in an independent variable (price). In non-economic usage, the word elastic is a synonym for the word stretchy. How could you explain the economic concept of elasticity in terms of the stretchiness of a rubber band?

What product example does the author use when describing the concept of elastic demand? Did this example help you understand the concept?

In economics, the word complements refers to goods that are related in such a way that the purchase of one increases the likelihood of purchasing the other. List several things you use routinely that are complements to each other.