For each of the following demand functions, assume that the price p must be greater than 0 and less than or equal to 100. For each demand function, determine all prices at which demand is elastic and all prices at which demand is inelastic. For each demand function, what price would you recommend the business use?  q(p)=100-p q(p)=216+(100/p)

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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For each of the following demand functions, assume that the price p must be greater than 0 and less than or equal to 100. For each demand function, determine all prices at which demand is elastic and all prices at which demand is inelastic. For each demand function, what price would you recommend the business use? 

  • q(p)=100-p
  • q(p)=216+(100/p)
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