Quote:
Originally Posted by 3SoldierDad
The most significant part of pain is that it is.....Well, painful.
Some wither and die, some riot, some alter their circumstances, and some change in a beneficial way.
Three Soldier Dad...Chuck
|
Demand curve for any good (oil) is inelastic when the quantity demanded for that good (Oil) does not change when price changes, if and only if, there are no substitutes for that good. In this case oil.
When that demand curve affects the home front; this is the impact I will experience due to the inelastic demand curve for oil.
We are expecting to enjoy an incredibly profitable season this summer at the beach restaurant. No one is going to be taking long trips with the price of fuel. People will be staying close to home. As a result, restaurants will be view as entertainment, as will other business’s that can supply the illusion of escape.