Instructions Use this information to answer questions 17-30 17-30 30 The brice elasticity of the gasoline demand is 0.35. The price elasticity of demand of rail transit during rush hour is 0.15 and during off peak hours is 1.2. The cross elasticity of demand of rail transit during rush hour with respect to the price of gasoline is 0.5 and the cross elasticity of demand of rail transit during off peak hours with respect to the price of gasoline is 2. Moreover, the income elasticity of demand of rail transit during rush hour is 0.4 and the income elasticity of demand of rail transit during off peak hours is 0.7 Calculate the percent change in total revenue that would result from implementing the 10% fare raise during the gff-ak hosurs Pay attention to the negative sign, if you enter your answer as a positive number, you are arguing that total revenue would increase otherwise, you are arguing that total revenue would decrease. NOTE This is a numeric answer, no explanation is needed Type your answer.

Instructions Use this information to answer questions 17-30 17-30 30 The brice elasticity of the gasoline demand is 0.35. The price elasticity of demand of rail transit during rush hour is 0.15 and during off peak hours is 1.2. The cross elasticity of demand of rail transit during rush hour with respect to the price of gasoline is 0.5 and the cross elasticity of demand of rail transit during off peak hours with respect to the price of gasoline is 2. Moreover, the income elasticity of demand of rail transit during rush hour is 0.4 and the income elasticity of demand of rail transit during off peak hours is 0.7 Calculate the percent change in total revenue that would result from implementing the 10% fare raise during the gff-ak hosurs Pay attention to the negative sign, if you enter your answer as a positive number, you are arguing that total revenue would increase otherwise, you are arguing that total revenue would decrease. NOTE This is a numeric answer, no explanation is needed Type your answer.

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter3: Demand Analysis

Section: Chapter Questions

Problem 8E: The Stopdecay Company sells an electric toothbrush for $25. Its sales have averaged 8,000 units per...

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