According to economic theory, the demand x for a quantity in a free market decreases as the price p increases (see the figure). Suppose that the number x of DVD players people are willing dx (A) Find dp 9,000 to buy per week from a retail chain at a price of $p is given by x = 10 sps70. 0.3p + 1" dx Answer parts (A), (B), and (C). dp Ax 4500- (B) Find the demand and the instantaneous rate of change of demand with respect to price when the price is $30. Write a brief interpretation of these results. The demand is x = when the price is $30. 2250- 9,000 The instantaneous rate of change of demand with respect to price is when the price is 0.3p + 1 $30. Write a brief interpretation of these results. 40 Price (dollars) 80 At a price level of $30, the demand is DVD players per week and demand is V at the rate of (C) Use the results from part (B) to estimate the demand if the price is increased to $31.

According to economic theory, the demand x for a quantity in a free market decreases as the price p increases (see the figure). Suppose that the number x of DVD players people are willing dx (A) Find dp 9,000 to buy per week from a retail chain at a price of $p is given by x = 10 sps70. 0.3p + 1" dx Answer parts (A), (B), and (C). dp Ax 4500- (B) Find the demand and the instantaneous rate of change of demand with respect to price when the price is $30. Write a brief interpretation of these results. The demand is x = when the price is $30. 2250- 9,000 The instantaneous rate of change of demand with respect to price is when the price is 0.3p + 1 $30. Write a brief interpretation of these results. 40 Price (dollars) 80 At a price level of $30, the demand is DVD players per week and demand is V at the rate of (C) Use the results from part (B) to estimate the demand if the price is increased to $31.

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter6: Demand Relationships Among Goods

Section: Chapter Questions

Problem 6.4P

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