Answered: EXERCISE 2.7 Calculate the price…

EXERCISE 2.7 Calculate the price elasticity (point elasticity) for each of the functions below. a) q = 60-p b) g=a-bp c) q = 40p

ENGR.ECONOMIC ANALYSIS

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ISBN:9780190931919

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Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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EXERCISE 2.7
Calculate the price elasticity (point elasticity) for each of the functions below.
a) q = 60-p
b) g = a-bp
c) q = 40p
d) q = (p+3)

EXERCISE 2.7:
a) E= -p/(60-p)
b) E= -bp/(a-bp)
c) E= -2
d) E= -2p/(p+3)

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