The likelihood that a child will attend a live musical performance can be modeled by q = 0.01(0.0007x2 + 0.38x + 36) (15 ≤ x ≤ 100). Here, q is the fraction of children with annual household income x thousand dollars who will attend a live musical performance during the year. Compute the income elasticity of demand E at an income level of $30,000. (Round your answer to two significant digits.) HINT [See Example 2.] E= Interpret the result. At a family income level of $ 30000, the fraction of children attending a live musical performance is increasing by____ % per 1% increase in household income.
The likelihood that a child will attend a live musical performance can be modeled by q = 0.01(0.0007x2 + 0.38x + 36) (15 ≤ x ≤ 100). Here, q is the fraction of children with annual household income x thousand dollars who will attend a live musical performance during the year. Compute the income elasticity of demand E at an income level of $30,000. (Round your answer to two significant digits.) HINT [See Example 2.] E= Interpret the result. At a family income level of $ 30000, the fraction of children attending a live musical performance is increasing by____ % per 1% increase in household income.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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The likelihood that a child will attend a live musical performance can be modeled by
q = 0.01(0.0007x2 + 0.38x + 36) (15 ≤ x ≤ 100).
Here, q is the fraction of children with annual household income x thousand dollars who will attend a live musical performance during the year. Compute the income elasticity of demand E at an income level of $30,000. (Round your answer to two significant digits.) HINT [See Example 2.]
E=
Interpret the result.
At a family income level of $ 30000, the fraction of children attending a live musical performance is increasing by____ % per 1% increase in household income.
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