A-Level Economics Content Series - Price Elasticities of Demand and Supply Part 1 (H1/H2)
In this course, we will be addressing price elasticity of demand (PED) and price elasticity of supply (PES). We will be deriving PED & PES values from the formula, learning the PANT & MINTS framework for PED/PES, addressing sharp increase in price based questions as well as firm’s pricing decision using PED.
0 Assignments
Lesson 1 - Definition and measurement, Shapes and Magnitude of PED
In this video lesson, I will delve into defining PED (Price Elasticity of Demand) and pinpoint the crucial keywords essential for exam writing. We will explore the formulas. Understanding elasticity holds significant importance for students, so I will illustrate the concept thoroughly, accompanied by graphical representations to clarify PED.
Lesson 2 - Determinants of PED (PANT)
In this video lesson, I will introduce the factors P.A.N.T. – Proportion of income, Availability of substitutes, Nature of Goods and Time Period. I will provide detailed explanations of each factor along with illustrative examples.
Lesson 3 - Definition and measurement of PES & Overview of PED vs PES
In this video lesson, I will start off with the definition of PES and a quick recap of PES and its rules. I will introduce the factors M.I.N.T.S. – Factor Mobility, Inventories and stocks, Number of producers, Time period and Spare Capacities. I will explain in details what each factor is about with examples. I will then contrast between PED and PES.
Lesson 4 - Price Volatility
In this video lesson, I will demonstrate how questions are tested based on price volatility. I will be running through the various types of difficulties in questions that can be tested for this sub topic.
Lesson 5 - Price Strategy
In this video lesson, I will discuss about how questions can be phrased to test on price strategy. I will highlight the important key points to note when tackling price strategy question with a demonstration on how to answer the question using graphs.
Lesson 6 - Exam Question
In this video lesson, we will be practicing on the question: Rising healthcare cost. You may obtain the article from the link : https://bitly.ws/3gnUd . Pause the video and attempt the question on your own. We will go through the answer during the end of the lesson.