P in USD Quantity Demanded Quantity Supplled 100 900 100 200 700 150 300 500 225 400 300 300 500 100 400 600 475 Use the information in the supply and demand schedules above to plot the supply and demand curves, and then answer the following questions. Why might the demand curve of PS5 appear to be so relatively elastic? O a Video game consoles such as PS5 are luxury goods. O b There are relatively few substitutes for the PS5. They are necessities in a very broadly defined market.

P in USD Quantity Demanded Quantity Supplled 100 900 100 200 700 150 300 500 225 400 300 300 500 100 400 600 475 Use the information in the supply and demand schedules above to plot the supply and demand curves, and then answer the following questions. Why might the demand curve of PS5 appear to be so relatively elastic? O a Video game consoles such as PS5 are luxury goods. O b There are relatively few substitutes for the PS5. They are necessities in a very broadly defined market.

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

**Supply and Demand Schedules for PlayStation 5 – Digital Edition**

| Price (P) in USD | Quantity Demanded | Quantity Supplied |
|------------------|-------------------|------------------|
| 100 | 900 | 100 |
| 200 | 700 | 150 |
| 300 | 500 | 225 |
| 400 | 300 | 300 |
| 500 | 100 | 400 |
| 600 | 0 | 475 |

Use the information in the supply and demand schedules above to plot the supply and demand curves, and then answer the following questions.

**Question:**
Why might the demand curve of PS5 appear to be so relatively elastic?

- **a.** Video game consoles such as PS5 are luxury goods.
- **b.** There are relatively few substitutes for the PS5.
- **c.** They are necessities in a very broadly defined market.

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