The monthly demand for Williams Tchotchkes (q measured in 1000s of tchotchkes) depends on the price that they set for their tchotchkes (p measured in dollars), the average price of substitutes for their tchotchkes (p, also measured in dollars), and the average monthly disposable income in the market for tchotchkes (y measured in $1000s). The current prices are p = $10 and p = $11, the current monthly demand for Williams Tchotchkes is 8000 tchotchkes and the current average monthly disposable income in the tchotchkes market is $3500. Furthermore, it is known that Əq Op P=11 y=3.5 p=10 = -0.31, Əq aps P=10 8 P=11 y=3.5 = 0.44 and Əq dy p=10 Ps 11 y=3.5 = 0.72. Scenario 1: Suppose that p increases by $0.20, p, increases by $0.35 (from their current values), and income doesn't change. In this scenario, monthly demand for Williams Tchotchkes' monthly will [Select] , and Williams Tchotchkes' monthly revenue will [Select] Scenario 2: Now (instead) suppose that average monthly income in the tchotchkes market increases to $3800 and the average price of substitutes increases to $11.15 (from their original values). In this scenario, if Williams Tchotchkes doesn't change their price (from its original value), then monthly demand for their tchotchkes will [Select] ✓. On the other hand, Williams Tchotchkes can raise their price by [Select] demand at its original value, and this will increase their revenue by [Select] ✓to keep
The monthly demand for Williams Tchotchkes (q measured in 1000s of tchotchkes) depends on the price that they set for their tchotchkes (p measured in dollars), the average price of substitutes for their tchotchkes (p, also measured in dollars), and the average monthly disposable income in the market for tchotchkes (y measured in $1000s). The current prices are p = $10 and p = $11, the current monthly demand for Williams Tchotchkes is 8000 tchotchkes and the current average monthly disposable income in the tchotchkes market is $3500. Furthermore, it is known that Əq Op P=11 y=3.5 p=10 = -0.31, Əq aps P=10 8 P=11 y=3.5 = 0.44 and Əq dy p=10 Ps 11 y=3.5 = 0.72. Scenario 1: Suppose that p increases by $0.20, p, increases by $0.35 (from their current values), and income doesn't change. In this scenario, monthly demand for Williams Tchotchkes' monthly will [Select] , and Williams Tchotchkes' monthly revenue will [Select] Scenario 2: Now (instead) suppose that average monthly income in the tchotchkes market increases to $3800 and the average price of substitutes increases to $11.15 (from their original values). In this scenario, if Williams Tchotchkes doesn't change their price (from its original value), then monthly demand for their tchotchkes will [Select] ✓. On the other hand, Williams Tchotchkes can raise their price by [Select] demand at its original value, and this will increase their revenue by [Select] ✓to keep
Advanced Engineering Mathematics
10th Edition
ISBN:9780470458365
Author:Erwin Kreyszig
Publisher:Erwin Kreyszig
Chapter2: Second-order Linear Odes
Section: Chapter Questions
Problem 1RQ
Related questions
Question
![The monthly demand for Williams Tchotchkes (q measured in 1000s of tchotchkes) depends
on the price that they set for their tchotchkes (p measured in dollars), the average price of
substitutes for their tchotchkes (p, also measured in dollars), and the average monthly
disposable income in the market for tchotchkes (y measured in $1000s).
The current prices are p = $10 and p₁ = $11, the current monthly demand for Williams
Tchotchkes is 8000 tchotchkes and the current average monthly disposable income in the
tchotchkes market is $3500. Furthermore, it is known that
Əq
Op
p=10
Pg=11
y=3.5
= -0.31,
Əq
aps
P=10
Pg=11
y=3.5
= 0.44 and
Əq
dy
p=10
Pg=11
y=3.5
=
0.72.
Scenario 1: Suppose that p increases by $0.20, p, increases by $0.35 (from their current
values), and income doesn't change. In this scenario, monthly demand for Williams
Tchotchkes' monthly will [Select]
, and Williams Tchotchkes' monthly
revenue will [Select]
Scenario 2: Now (instead) suppose that average monthly income in the tchotchkes market
increases to $3800 and the average price of substitutes increases to $11.15 (from their original
values). In this scenario, if Williams Tchotchkes doesn't change their price (from its original
value), then monthly demand for their tchotchkes will [Select]
✓. On the
other hand, Williams Tchotchkes can raise their price by [Select]
demand at its original value, and this will increase their revenue by
[Select]
to keep](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F08895616-0170-4ded-a3c3-cc27bd9cfc2c%2Fcd35b6b3-1517-4506-baa7-1dff95e618df%2Fvj6q5kq_processed.png&w=3840&q=75)
Transcribed Image Text:The monthly demand for Williams Tchotchkes (q measured in 1000s of tchotchkes) depends
on the price that they set for their tchotchkes (p measured in dollars), the average price of
substitutes for their tchotchkes (p, also measured in dollars), and the average monthly
disposable income in the market for tchotchkes (y measured in $1000s).
The current prices are p = $10 and p₁ = $11, the current monthly demand for Williams
Tchotchkes is 8000 tchotchkes and the current average monthly disposable income in the
tchotchkes market is $3500. Furthermore, it is known that
Əq
Op
p=10
Pg=11
y=3.5
= -0.31,
Əq
aps
P=10
Pg=11
y=3.5
= 0.44 and
Əq
dy
p=10
Pg=11
y=3.5
=
0.72.
Scenario 1: Suppose that p increases by $0.20, p, increases by $0.35 (from their current
values), and income doesn't change. In this scenario, monthly demand for Williams
Tchotchkes' monthly will [Select]
, and Williams Tchotchkes' monthly
revenue will [Select]
Scenario 2: Now (instead) suppose that average monthly income in the tchotchkes market
increases to $3800 and the average price of substitutes increases to $11.15 (from their original
values). In this scenario, if Williams Tchotchkes doesn't change their price (from its original
value), then monthly demand for their tchotchkes will [Select]
✓. On the
other hand, Williams Tchotchkes can raise their price by [Select]
demand at its original value, and this will increase their revenue by
[Select]
to keep
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