ECO 561 Course Great Wisdom / tutorialrank.com ECO 561 Course Great Wisdom / tutorialrank.com | Page 21

What is price elasticity? Give examples of five products whose
demand is price elastic, and five products whose demand is price
inelastic and elaborate on the choices you make.
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ECO 561 Week 1 Economic Choice & Economic Decision
Making (2 Papers)
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THIS TUTORIAL CONTAINS 2 PAPERS

Consider your last vehicle purchase and the decision making process
you engaged in while deciding what vehicle to purchase or if a new
vehicle was the right decision. While analyzing your decision, keep in
mind that everything from the interest rates to the price of gasoline is
driven by the economy in one way or another.
Develop a 1,400-word analysis of your decision-making process in
which you include the following:
Discuss the role of the interest rate and the cost of financing on your
purchase decision. Interest rates are derived from the supply and
demand for money and the actions of the Federal Reserve System.
What was the rate of interest you paid on your vehicle loan? Were
interest rates rising or falling at the time of your decision?