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1. Income Elasticity of Demand (YED) Explained, with a Graph

   Feb 20, 25 12:59 PM

   Income Elasticity of Demand is defined as the responsiveness of the quantity demanded of a good, by consumers, to changes in consumer income.

2. Price Elasticity of Demand (PED) Explained with Graphs

   Feb 16, 25 01:29 PM

   The price elasticity of demand relates to a product (a good or service) and its demand sensitivity to changes in its price.

3. Consumer Surplus Graph, Formula & Theory

   Jan 31, 25 01:11 PM

   Consumer surplus originates from Marshallian demand theory, and it best explained with the use of a graph. Click here for full details.

4. The Demand Curve in Economics (Types, Slope, Shifts, & Examples)

   Jan 31, 25 01:09 PM

   A demand curve for a product represents the combinations of price and quantity that will emerge from a market when consumers choose how to spend their money.

5. What is Derived Demand in Economics?

   Jan 31, 25 01:09 PM

   The term ‘derived demand’ relates to the demand for a product or input that stems from the demand for something else. The demand for labor is a good example.

6. The Linear Demand Curve Explained (with a Graph)

   Jan 31, 25 01:09 PM

   A linear demand curve is a type of demand curve in economics where the relationship between price and quantity demanded can be represented by a straight line.

7. The Inverse Demand Function (Formula, Graph, & Example)

   Jan 31, 25 01:08 PM

   The inverse demand function is commonly used by firms that have significant market power i.e., enough that their output choices impact market prices.

8. The Long Term Debt Cycle Explained

   Jan 18, 25 05:22 AM

   The long term debt cycle is explained by Ray Dalio in his free book 'Principles for Navigating Big Debt Crises', but is it any good? Click here to find out.

9. Market Failure; Understanding Market Forces & Efficiency

   Nov 25, 24 08:41 AM

   There are various types of market failure in the efficient functioning of the economy, and their causes are many. Click here for clear explanation and examples.

10. The Tragedy of the Commons in Economics

    Nov 25, 24 08:37 AM

    The tragedy of the commons describes a situation in which individuals, acting in their self-interest, deplete a community’s shared resource.

11. Public Goods in Economics, Explained

    Nov 25, 24 08:35 AM

    Public goods are characterized by being both 'non-rival' and 'non-excludable', meaning that private markets cannot provide them efficiently.

12. The Free Rider Problem in Economics, Explained

    Nov 25, 24 08:34 AM

    The free rider problem occurs when individuals benefit from goods or services without directly paying for them, thereby leaving others to bear the cost.

13. Allocative Efficiency Explained (with graphs)

    Oct 25, 24 04:34 PM

    Allocative efficiency is one of three types of efficiencies discussed in economics, and it is best explained with some simple graphs.

14. How to Beat Stagflation (with a case study)

    Oct 24, 24 11:17 AM

    Knowing how to beat stagflation, and having the courage to to do so, is difficult for politicians because of short-term costs involved. Click here for details.

15. The Edgeworth Box Diagram Explained

    Oct 19, 24 09:58 AM

    The Edgeworth box is a graphical tool used in microeconomics to analyze the distribution of goods or resources between two agents in an economy.

16. Pareto Efficiency Explained (with a graph)

    Oct 18, 24 10:41 AM

    Pareto efficiency (or Pareto optimality) is a concept in economics that examines the allocation of goods and services among individuals.

17. The Coase Theorem Explained (with an example)

    Oct 12, 24 01:20 PM

    The Coase Theorem in economics provides a framework for understanding how the private sector can resolve 'externalities' without government involvement.

18. The Mundell Fleming Trilemma & The Impossible Trinity

    Apr 16, 24 05:21 AM

    The Mundell Fleming Trilemma presents a series of macroeconomic policy combinations that a government may wish to pursue, but each option comes at a cost.

19. The Economics of Western Decline

    Feb 29, 24 09:06 AM

    Economics has been labelled the 'dismal science', but it's actually a fascinating subject. Unfortunately, our key policymakers have applied it very poorly...

20. The Circular Flow Model in Economics Explained (with diagrams)

    Feb 21, 24 08:28 AM

    The Circular Flow Model uses one of the most well-known diagrams in economics to illustrate how income & expenditure circulate through an economy.

21. What is the Business Cycle in Economics? (Causes & Controversies)

    Feb 13, 24 04:28 AM

    The business cycle, sometimes called the economic cycle, refers to the boom bust cycle that has plagued economic growth in the modern world. But what causes it?

22. Comparative Advantage in International Trade Explained

    Feb 11, 24 01:17 PM

    The principle of comparative advantage in economics explains why there is always the potential for mutual gains from trade between two countries.

23. Costs of Production Explained (Short-Run & Long-Run)

    Feb 05, 24 05:11 PM

    The costs of production in economics are often arranged into short-run and long-run models, with the variability of capital being the dividing line.

24. What Is Inflation, And Why Is It Bad?

    Feb 04, 24 01:17 PM

    What is Inflation and why is it bad? This is a common question in economics and most people don't really have a good grasp of it, so here's my explanation.

25. What is the Isocost Line in Economics?

    Jan 30, 24 02:32 PM

    The Isocost line, sometimes called the isocost curve, is a long run graph that shows all possible combinations of labor and capital for a given total cost.