Tuesday, January 02, 2007
Elasticity of demand for condoms
What evidence does exist suggests that a 100% change in the overall price (wherein price means the sacrifice one endures to obtain a good) leads to a reduction in the quantity of condoms demanded by 5-15%. (Source.) So the question is simply, how much of the sacrifice a teen makes in acquiring a condom comes from the act of asking for the little box behind the counter vis-a-vis the monetary cost? I have a sample of one: It scared me to death.
UPDATE: Great article thinking about AIDS in December's Esquire. (h/t: Freakonomics blog, found via the Economic Roundtable, though Levitt's post seems to have gone missing.)