Friday, September 11, 2015

The Elasticity of Demand for Gasoline

DUTT Pushan
©2015 INSEAD Case Study
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This exercise uses monthly data for the US from 1978-2013 to estimate a demand function for gasoline in the US. The demand function is used to calculate the price and income elasticity of demand. Subsequently, it shows how to estimate elasticities in the short and the long run.