Suppose the demand curve for a product is given by Q=14-1P+2Ps where P is the price of the product and Ps is the price of a substitute good. The price of the substitute good is $2.20. Suppose P= $0.90. The price elasticity of demand is -0.05. (Enter your response rounded to two decimal places.) The cross-price elasticity of demand is. (Enter your response rounded to two decimal places.)
Suppose the demand curve for a product is given by Q=14-1P+2Ps where P is the price of the product and Ps is the price of a substitute good. The price of the substitute good is $2.20. Suppose P= $0.90. The price elasticity of demand is -0.05. (Enter your response rounded to two decimal places.) The cross-price elasticity of demand is. (Enter your response rounded to two decimal places.)
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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![Suppose the demand curve for a product is given by
Q=14-1P+2Ps
where P is the price of the product and Ps is the price of a substitute good. The price of the substitute good is $2.20.
Suppose P = $0.90. The price elasticity of demand is -0.05. (Enter your response rounded to two decimal places.)
The cross-price elasticity of demand is (Enter your response rounded to two decimal places.)](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F5ca6705a-35fb-449e-af55-a10da25747bd%2Fa58e2db3-8fa7-4768-8bac-867eeb902853%2Fp4bzxcd_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Suppose the demand curve for a product is given by
Q=14-1P+2Ps
where P is the price of the product and Ps is the price of a substitute good. The price of the substitute good is $2.20.
Suppose P = $0.90. The price elasticity of demand is -0.05. (Enter your response rounded to two decimal places.)
The cross-price elasticity of demand is (Enter your response rounded to two decimal places.)
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