In the world today Elastic and Inelastic demand effect me in many ways. First I'll talk about elastic demand. An example of elastic demand is candy. People don't exactly need candy, this is a want and not a necessity. So if the price of such candy increases the demand drops drastically and the total revenue drops.
Second is Inelastic. Inelastic demand in more of a necessity compared to want. Such items include gas, milk, bread, etc. If you make a inelastic demand curve the line would be more vertical then horizontal (elastic). So as the price increases the demand may drop just a tad, but the total revenue will increase.
Learning more about demand makes me wonder how bad the economy is or if people are exaggerating there worries about the economy.
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