2. Kelly, a bright college student finds out that the iPhone 14 was just launched this past week in Cupertino, CA. She along with the thousands of consumers plans on purchasing the iPhone 14 from Best Buy due to a price decrease from $899.99 to $649.99. Apple expects to see the quantity demanded for iPhone 14 to rise from 7 million to 10 million by the end of the year. What is the iPhone 14's elasticity of demand? 3. Alex is a terrific athlete as he is the captain of his basketball team. The championship game is this weekend, so he plans on buying new shoes for his entire team from Dick's Sporting Goods, but realizes that the price of a Nike Air Jordan shoe increased from $125.00 a pair to $150.00 a pair. Now, Alex only consumes 2 Nike Air Jordan shoes instead of his initial intent of purchasing 3 shoes. What is the price elasticity of demand for a Nike Air Jordan shoe?

2. Kelly, a bright college student finds out that the iPhone 14 was just launched this past week in Cupertino, CA. She along with the thousands of consumers plans on purchasing the iPhone 14 from Best Buy due to a price decrease from $899.99 to $649.99. Apple expects to see the quantity demanded for iPhone 14 to rise from 7 million to 10 million by the end of the year. What is the iPhone 14's elasticity of demand? 3. Alex is a terrific athlete as he is the captain of his basketball team. The championship game is this weekend, so he plans on buying new shoes for his entire team from Dick's Sporting Goods, but realizes that the price of a Nike Air Jordan shoe increased from $125.00 a pair to $150.00 a pair. Now, Alex only consumes 2 Nike Air Jordan shoes instead of his initial intent of purchasing 3 shoes. What is the price elasticity of demand for a Nike Air Jordan shoe?

Principles of Microeconomics

7th Edition

ISBN:9781305156050

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter5: Elastic And Its Application

Section: Chapter Questions

Problem 7PA: Maria has decided always to spend one third of her income on clothing. a. What is her income...

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