During spring break, students have an elasticity of demand for a trip to Florida of -4. How much should an airline charge students free ticket if the price it charges the general public is $360? Assume the general public has an elasticity of -2. multiple choice: A) $240 B) $250 C) $240 (not sure why question has 240 twice) D) $270

During spring break, students have an elasticity of demand for a trip to Florida of -4. How much should an airline charge students free ticket if the price it charges the general public is $360? Assume the general public has an elasticity of -2. multiple choice: A) $240 B) $250 C) $240 (not sure why question has 240 twice) D) $270

ECON MICRO

5th Edition

ISBN:9781337000536

Author:William A. McEachern

Publisher:William A. McEachern

Chapter5: Elasticity Of Demand And Supply

Section: Chapter Questions

Problem 2.5P: (Determinants of Price Elasticity) Would the price elasticity of demand for electricity be more...

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