When income increases by 10 percent (or numerically, 0.1), quantity demanded moves by 168 units. Assuming the income elasticity of demand is 4. What is the original quantity demanded? (assuming further that this is the point elasticity relative to the original point.) Please make sure you give a numerical answer with no units and/or space or period (.) or comma (,) before or after your answer. Enter your answer here
When income increases by 10 percent (or numerically, 0.1), quantity demanded moves by 168 units. Assuming the income elasticity of demand is 4. What is the original quantity demanded? (assuming further that this is the point elasticity relative to the original point.) Please make sure you give a numerical answer with no units and/or space or period (.) or comma (,) before or after your answer. Enter your answer here
Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter5: Elasticity
Section: Chapter Questions
Problem 31CTQ: Economists define normal goods as having a positive income elasticity. We can divide normal goods...
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