Originally Posted by Mark A

Today we're talking about inelastic demand (See Dr. Davis, I did pay attention in Econ 101) inelastic demand occurs when you have a product that you will buy at any and all prices. Good examples are Gasoline, Toilet Paper, Deodorant, and in my house Dr. Pepper (my personal little vice).

Since we will always buy these products we must take a different approach to save money on these items.

• Monitor Prices- If you know what is a high price and a low price for these items, then you can buy low and save. (ex: If gas has been costing $3.35 and you see it for $3.09, fill up your tank even if there isn't too much of a need since $3.09 is a low price.)
• Buy in large quantities- We do this with toilet paper, every now and again Wal-Mart has a major TP sale, we have room for 200+ rolls at home, so when it's on sale we stock up. We get the good stuff too, cheap TP goes twice as fast as mid-grade (and hurts your bottom too)
• Buy in bulk- just make sure the bulk item is cheaper per unit than the non-bulk item, some grocery stores have caught on to this (ex: a 24 pack of Dr. Pepper is $6.99 but a 12 pack is $3.33 or $6.66 for 24)
• Ask for them as gifts- My grandfather has a "happiness list" that he circulates to all of us about every 4 years or so that include his favorite snacks etc. They are all really cheap, but also last a long time, so he stocks up and when he has too much they go off his list. Grandpa hasn't paid for salt-in-the-shell peanuts since 1983, yet he always has a ready supply.
• Look for alternatives- Sometimes there is a cheaper alternative product that is just as good.