Calculate the elasticity when P=10, Qd=200-10P: options: -1 1 3 -3 Suppose demand is linear: Qd=a-bP We know that the price elasticity of demand is -0.5, quantity of demand Qd=100, price P=10, then: a=200,b=10 a=200, b=-10 a=150, b=5 a=50, b=-5
Calculate the elasticity when P=10, Qd=200-10P: options: -1 1 3 -3 Suppose demand is linear: Qd=a-bP We know that the price elasticity of demand is -0.5, quantity of demand Qd=100, price P=10, then: a=200,b=10 a=200, b=-10 a=150, b=5 a=50, b=-5
Chapter5: Price Elasticity Of Demand And Supply
Section: Chapter Questions
Problem 16SQ: If the quantity of bread demanded rises 2 percent when the price of bread declines 10 percent, then...
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