So, if the corn from your farm has a price elasticity of supply equal to 0.2 ... behind PED is that consumers will demand less when prices go higher. What Does Elasticity of Prices Mean?

This story is part of your SHN+ subscription In 2025, demand is surging. The rate of newly built communities is not. If the ...

The problem with the basic supply and demand theory is that distribution and refinement haven't always kept up with production. For example, the United States does not build refineries often.