Instructional Video

Khan Academy: Determinants of Price Elasticity of Demand

Curated by ACT

There are several factors that affect how elastic (or inelastic) the price elasticity of demand is, such as the availability of substitutes, the timeframe, the share of income, whether a good is a luxury vs. a necessity, and how narrowly the market is defined. This resource is designed as a review for the AP Microeconomics Test or a college-level microeconomics course.

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Classroom Considerations
  • Knovation Readability Score: 5 (1 low difficulty, 5 high difficulty)
  • The intended use for this resource is Instructional