Use the hypothetical market for rechargeable batteries illustrated in the accompanying graph to answer the questions that follow. a. Use the interactive graph to illustrate the impact of an increase in consumer income. b. Use the midpoint formula to calculate the price elasticity of supply for Supply(1) between the old and new price. Round to two places after the decimal. Units c. Use the midpoint formula to calculate the price elasticity of supply for Supply(2) between the old and new price. Enter your answer below. Round to two places after the decimal. Units Price per battery 10 9 8 7 6 3 2 1 D Supply (2) Supply (1) 0 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 10,000 Quantity of batteries

Use the hypothetical market for rechargeable batteries illustrated in the accompanying graph to answer the questions that follow. a. Use the interactive graph to illustrate the impact of an increase in consumer income. b. Use the midpoint formula to calculate the price elasticity of supply for Supply(1) between the old and new price. Round to two places after the decimal. Units c. Use the midpoint formula to calculate the price elasticity of supply for Supply(2) between the old and new price. Enter your answer below. Round to two places after the decimal. Units Price per battery 10 9 8 7 6 3 2 1 D Supply (2) Supply (1) 0 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 10,000 Quantity of batteries

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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