Consider the following demand function for good 'X':Q= 9-0.1p, - Py + 0.01p, + 0.001Y, whereOwn price, P, =$120Price of a related good, P= $4Quantity demanded = 20.75Price of a related good, P, = $275Consumer income, Y = $25,000The income elasticity of demand, E, when equlibrium quantity is 20.75 units and income is $25.000 is equal to(Enter a numeric response using a real numberrounded to three decimal places.)In this case, the good is aReactictvMacBook Air80DIIDDF1F2F3F4F5F7F8F9F10F11$&*124789.QWETYU一PAFGH.JKLCVcommandoptionB* 3N

We are going to find Income elasticity of demand to answer this question.

Consider the following demand function for good "X: Q= 9-0.1p,-Py + 0.01pz + 0.001Y, where Own price, P, = $120 Quantity demanded = 20.75 Price of a related good, P,=$4 Price of a related good, P, $275 Consumer income, Y= $25,000 The income elasticity of demand, 3, when equilibrium quantity is 20.75 units and income is $25,000 is equal to (Enter a numeric response using a real number rounded to three decimal places.) In this case, the good is a

Consider the following demand function for good "X: Q= 9-0.1p,-Py + 0.01pz + 0.001Y, where Own price, P, = $120 Quantity demanded = 20.75 Price of a related good, P,=$4 Price of a related good, P, $275 Consumer income, Y= $25,000 The income elasticity of demand, 3, when equilibrium quantity is 20.75 units and income is $25,000 is equal to (Enter a numeric response using a real number rounded to three decimal places.) In this case, the good is a

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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