6. Average real incomes in Dominica last year increased by 4 percent, while taxi ridership went up by 3 percent. What is the income elasticity of demand of taxi transportation? Is it a normal or an inferior good?
6. Average real incomes in Dominica last year increased by 4 percent, while taxi ridership went up by 3 percent. What is the income elasticity of demand of taxi transportation? Is it a normal or an inferior good?
Chapter5: Elasticity Of Demand And Supply
Section: Chapter Questions
Problem 2.5P: (Determinants of Price Elasticity) Would the price elasticity of demand for electricity be more...
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![6. Average real incomes in Dominica last year increased by 4 percent, while taxi
ridership went up by 3 percent. What is the income elasticity of demand of taxi
transportation? Is it a normal or an inferior good?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3b1947d4-70b6-4c2c-b474-3edba0856b72%2Fccdbb677-f292-4031-9445-7569a73c01b6%2Fatex84m_processed.jpeg&w=3840&q=75)
Transcribed Image Text:6. Average real incomes in Dominica last year increased by 4 percent, while taxi
ridership went up by 3 percent. What is the income elasticity of demand of taxi
transportation? Is it a normal or an inferior good?
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