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Article
Cross-Price Elasticity and Income Elasticity of Demand: Are Your Students Confused?
The American Economist (2009)
  • PHILIP E GRAVES, University of Colorado at Boulder
  • ROBERT L SEXTON, Pepperdine University
Abstract
The authors demonstrate that most textbooks are ambiguous at best in their treatment of cross-price elasticity and income elasticity of demand. There is also no discussion of what initiates a price increase in discussions of substitutes and complements in the textbooks examined. The authors offer a remedy for these deficiencies.
Keywords
  • Cross-price elasticity,
  • Income elasticity,
  • Economic education
Disciplines
Publication Date
2009
Citation Information
PHILIP E GRAVES and ROBERT L SEXTON. "Cross-Price Elasticity and Income Elasticity of Demand: Are Your Students Confused?" The American Economist Vol. 54 Iss. no. 2 (2009)
Available at: http://works.bepress.com/philip_graves/57/