zlacker

Those graphs rely on knowing the price elasticity of demand, which is easy to get for commodities like wheat and next to impossible to get for differentiated products, at least without testing various prices on statistically identical cohorts, which is technically difficult and a PR nightmare.

>>brooks+(OP)
The short run elasticity might also be very different from the longer run elasticity.

Eg consumer put up with the increased price for a while, but will switch away over time.

>>eru+Gb
Indeed, and then second order effects where elasticity might change as the platform gains or loses users.