When the price of Good 1 changed from $7 per unit to $10 per unit, demand for Good 2 changed from 4000 units to 5000 units. Calculate the appropriate elasticity. You will interpret your findings in the next question. Enter only numbers, a decimal point, and/or a negative sign as needed. Round your answer to two decimal places as necessary; if you round on intermediate steps, use four places.

When the price of Good 1 changed from $7 per unit to $10 per unit, demand for Good 2 changed from 4000 units to 5000 units. Calculate the appropriate elasticity. You will interpret your findings in the next question. Enter only numbers, a decimal point, and/or a negative sign as needed. Round your answer to two decimal places as necessary; if you round on intermediate steps, use four places.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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