interpret the relationship of both elasticities from each other D.lprodCoef.Std. Err.tp>|t|[95% Conf. Interval]ADJlprodL1.-1.026363.1773207-5.790.010-1.590676-.4620495LRlprice-.4590518.0901793-5.090.015-.7460424-.1720611--.SRlpriceDi..5652255.07299197.740.004.3329327.7975182LD..6474362.10436576.200.008.3152978.9795745L2D..5861788.09117616.430.008.29601588763418L3D..3358008.07665344.380.022.0918554.5797461L4D..1757376.05014323.500.039.01615963353157_cons14.119542.3682925.960.0096.58257421.6565

In the given question, SR is the Short run and LR is the Long Run, Let us assume the total number…

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interpret the relationship of both elasticities from each other

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

interpret the relationship of both elasticities from each other

D.lprod
Coef.
Std. Err.
t
p>|t|
[95% Conf. Interval]
ADJ
lprod
L1.
-1.026363
.1773207
-5.79
0.010
-1.590676
-.4620495
LR
lprice
-.4590518
.0901793
-5.09
0.015
-.7460424
-.1720611
--.
SR
lprice
Di.
.5652255
.0729919
7.74
0.004
.3329327
.7975182
LD.
.6474362
.1043657
6.20
0.008
.3152978
.9795745
L2D.
.5861788
.0911761
6.43
0.008
.2960158
8763418
L3D.
.3358008
.0766534
4.38
0.022
.0918554
.5797461
L4D.
.1757376
.0501432
3.50
0.039
.0161596
3353157
_cons
14.11954
2.368292
5.96
0.009
6.582574
21.6565

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