📈 Economics

How do you work out the elasticity of substitution?

1 answers
Answered Dec 18Economics
Pamela's profile picture
Pamela OlsonI endeavour to provide children with the best care possible.

This app doesn't easily let me enter formulas for some reason. It would be helpful to have a look at this link when you have a moment: https://economics.stackexchange.com/questions/5517/how-does-one-derive-the-elasticity-of-substitution It goes through an example question of how to calculate it. Hopefully you'll find it useful!