Questions tagged [economics]
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Marx economics theory
Before Marx, economic theory had two big names: Adam Smith and Ricardo. It is well known that Marx used their work. When at school I was told without much specific that Marx had substantial ...
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Where the term elasticity (of a function) come from?
Elasticity of a function is a mathematical concept that is widely used in economics. In particular, price elasticity of demand or supply. But generally elasticity in economic is the measurement of how ...
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Why do undergraduate texts insist on graphing price as a function of demand?
It seems more intuitive to put price on the x-axis, since that is a variable that a producer can set, or is otherwise set for the consumer (a consumer walks into the store and sees the price, ...
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Where does the formula $(1+\frac r n)^n$ for compound interest come from?
If we have an annual interest rate of $r$, meaning that each year we multiply our capital by $1+r$, but we want to compound it $n$ times throughout the year, then the usual formula for the amount of ...
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Why is price on the vertical axis and quantity on the horizontal axis?
In most of science, it is typical to have the independent variable on the horizontal axis and the dependent variable on the vertical axis.
But in economics, this is often (traditionally?) flipped ...
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