Measuring Price Elasticity and Cross-Price Elasticity Using Regression Models

In this video, I dive into the price elasticity of demand and cross-price elasticity, using real-world examples and regression model outputs to illustrate key concepts. Whether you're an economics student, data analyst, or just curious about how prices impact demand, this tutorial is for you!
What you'll learn:
What is price elasticity and why it matters
How to measure price elasticity using regression models
Building a regression model to predict coffee demand based on coffee and tea prices
Calculating cross-price elasticity to understand how tea prices affect coffee demand
I walk you through the entire process step-by-step, providing clear explanations and practical examples. By the end of this video, you'll have a solid understanding of how to apply these concepts to your own data and make informed decisions. You will learn how to use Microsoft Excel to create regression models and measure price elasticities.