1. Kleindesk
Windows
White Board
KLEIN 7th HOUR
Glorija K
Patrick
Jess M
Tony
Noel L P
Roman
Priscilla
Cabrina
Marisol A
Kristina R
Laura F
Yamileth
Alex O
Juan
Christian SC
Valerie F
Myranda B
Idalis G
Robert
Jezabel
Gabby
Luis F P
Jairo

2. Kleindesk
Windows
White Board
KLEIN 5th HOUR
Jerry
Melissa F
Diana N
Jesus
Andres L
Sal C
Ismael B
Cristabel A
Daniel C
Nohelialtzel
Ryan A
Jacob T
John G
Brian E
Jessica M
Angel M
Jose F
Eric V
Araceli A
Jesus C
Dulce C
Cezar
Miranda
Angel M
Joel
Kellie M
Conrado
Raul C
Vitoria
Matt
David A
Vinny

3. Kleindesk
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White Board
KLEIN 4th HOUR
Gabby
Maria O
Karen P M
Arturo C
Alondra Z
Nikki G
Lisanna
Daniel A
Sarah O
Michael M
Michael D
Luis R
Esteban
Hector
Yadira L
Carlos
Jorge
Luis Del Toro

4. Full page Bellringer
1. Would you buy each of these goods if the price
quadrupled AND WHY?
Toothpaste ($2)
New XBOX & PS3 Video Games ($49)
Notebook paper ($0.10)
Sonoran Hot dog ($2.50)
Art Supplies ($8)
New Washing Machine ($400)
2. Get out your notes

5. Today’s topic: Elasticity
Responsive to price changes

9. Graph this demand curve in your notes
Price Quantity Demanded
$1.25 1
$1.00 3
$0.75 9
At your tables:
What do you notice about this demand?
Do these consumers care about price?
What product might fit this demand?

10. If I really care about price….
• Elastic Demand
– Very responsive to
price change
– Many substitutes
– Big part of budget
– Don’t buy very often
– Why important to
think about as a
firm?
Price/month
Quantity
D-nice apartments
1000
500
100
1000 5000 10,000

11. Graph this demand curve in your notes
Price Quantity Demanded
$1.50 3
$1.00 4
$0.50 5
At your tables:
What do you notice about this demand?
Do these consumers care about price?
What product might fit this demand?

12. If I will still buy it
• Inelastic Demand
– Not responsive to price
change
– Few substitutes
– Small part of budget
– Why does government
often control prices of
inelastic goods?
– Illegal drugs?
Price/dose
Quantity
D-dialysis100
1 2 3
200
300
400
500
600
700

13. In Reality

14. Are the following goods more elastic or
inelastic, short explanation for each
• new cars
• ground beef
• insulin for diabetics
• Notebook paper
• Gasoline
• bicycles
• Trip to Costa Rica
• Prom tickets
• XboxOne
• tattoos
• deodorant
• Designer Clothing
• Baby formula
• MP3 Music
Downloads
• Cell phone for 8th
grader
• Cell phone for
salesperson
• college textbooks

15. Summary