15.5 (0) The demand function for drangles is q(p) = (p+ 1)-2. (a) What is the price elasticity of demand at price p? (b) At what price is the price elasticity of demand for drangles equal to -1?. (c) Write an expression for total revenue from the sale of drangles as a function of their price. the revenue-maximizing price. Don't forget to check the second-order Use calculus to find condition.. (d) Suppose that the demand function for drangles takes the more general form q(p) = (p+a)-b where a > 0 and b> 1. Calculate an expression for the price elasticity of demand at price p. At what price is the price elasticity of demand equal to -1?_

ECON MICRO
5th Edition
ISBN:9781337000536
Author:William A. McEachern
Publisher:William A. McEachern
Chapter5: Elasticity Of Demand And Supply
Section: Chapter Questions
Problem 1.1P: (Calculating Price Elasticity of Demand) Suppose that 50 units of a good are demanded at a price of...
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15.5 (0) The demand function for drangles is q(p) = (p+ 1)-2.
(a) What is the price elasticity of demand at price p?
(b) At what price is the price elasticity of demand for drangles equal to
-1?.
(c) Write an expression for total revenue from the sale of drangles as a
function of their price.
the revenue-maximizing price. Don't forget to check the second-order
Use calculus to find
condition..
(d) Suppose that the demand function for drangles takes the more general
form q(p) = (p+a)-b where a > 0 and b > 1. Calculate an expression for
the price elasticity of demand at price p.
At what price
is the price elasticity of demand equal to –1?_
-
Transcribed Image Text:15.5 (0) The demand function for drangles is q(p) = (p+ 1)-2. (a) What is the price elasticity of demand at price p? (b) At what price is the price elasticity of demand for drangles equal to -1?. (c) Write an expression for total revenue from the sale of drangles as a function of their price. the revenue-maximizing price. Don't forget to check the second-order Use calculus to find condition.. (d) Suppose that the demand function for drangles takes the more general form q(p) = (p+a)-b where a > 0 and b > 1. Calculate an expression for the price elasticity of demand at price p. At what price is the price elasticity of demand equal to –1?_ -
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