As observed in a certain appliance store when the price of electric fan increased from 1000 to 1200 the demand for air conditioners increased from 8 to 10 units. Calculate for the cross-price elasticity and indicate whether the two goods are complements or substitutes.

Q: If 45 units are sold at a price of $15 and 75 units are sold at a price of $10, what is the absolute…

A: Price elasticity of demand refers to the proportion extrade in the amount of demand that…

Q: A 3 percent decrease in the price of milk causes a 12 percent increase in the quantity demanded of…

A: Cross-price elasticity (XED) measures the responsiveness of the quantity demanded of one good to a…

Q: The cross price elasticity of demand captures the percent change in the (quantity demanded, price)…

A: The XED is a concept which measures how the Q of one good changes in response to a change in the P…

Q: If the cross price elasticity of demand between two goods is -1.2, then the two goods are:

A: Cross price elasticity of demand refers to the relationship between the quantity demanded of one…

Q: Suppose the cross-price elasticity of demand between avocados and limes is -0.60 (E avocados/limes =…

A: Cross-price elasticity of demand measures how sensitive the quantity demanded of one good is to a…

Q: If the cross-price elasticity of demand between two goods is +2, how would you describe the…

A: Demand elasticity is primarily defined as the change in demand as a result of a change in price,…

Q: If the cross-price elasticity between ketchup and hamburgers is –1.2, a 4% increase in the price of…

A: Note:- Since we can only answer one question at a time, we'll answer the first one. Please repost…

Q: The price elasticity of pumpkin spice latte during Fall is -0.5. It follows that that a 5% decrease…

A: Price elasticity of demand shows the change in quantity demanded due to change in price.  The demand…

Q: Andy does a study on four different types of energy drinks and their relationship with a major…

A: Cross-price elasticity of demand for good X with respect to good Y: It refers to the percentage…

Q: he price of a good falls from $12 to $8, and the quantity falls from 110 to 90 units. Calculate the…

A: The worth physical property of demand is Associate in Nursing economic data point that measures the…

Q: Calculate the price elasticity of demand as the price of motor vehicles incresease from 920 to 1300…

A: Price elasticity of demand refers to percentage change in quantity demanded with respect to…

Q: the market demand for a good at $4 per units is 100 units. the price rises and as result its market…

A: Initial price = $4 Initial quantity = 100 units New price = ? New quantity = 75 units Elasticity of…

Q: The cross elasticity of demand for tennis shoes and tennis socks is negative. True False

A: Cross price elasticity is the percentage change in quantity demanded of good 1 due to percentage…

Q: The price elasticity of demand for chicken is calculated as 1.53. What category of price elasticity…

A: We will answer the first question since the exact one was not specified. Please submit a new…

Q: Flavor Flav has released a new exercise DVD for his loyal fans. If he charges $20 he expects to sell…

A: Given, P1=$20Q1=10,000P2=$30Q2=8,000 Price elasticity of demand depicts the responsiveness of change…

Q: Suppose that a product has a price elasticity of demand equal to 0.7. Interpret the value of Ed

A: Given :  Price elasticity of demand of a product is 0.7

Q: why is the price elasticity of coca cola greater than the price elasticty of soft drinks?

A: Price elasticity of demand: It is used for measuring the change in consumption of a product in…

Q: Please help

A: To find the price elasticity of demand when the price decreases from R9 to R7, we will use the…

Q: Suppose now that in self-service stores there has been an increase in the price of tennis rackets,…

A: Price elasticity of demand measures the responsiveness in quantity demanded of a commodity to a…

Q: Suppose we find that the price elasticity of demand for a product Is 1.25 when Its price Is…

A: Economics as a subject deals with the allocation of scarce resources among humans with unlimited…

Q: What is relative elasticity and inelastic

A: demand= Desire+ willingness+ ability

Q: Determine the cross elasticity of demand, if the price of gasoline has risen from 10 rubles per…

A: Cross price elasticity of demand measures the responsiveness in quantity demanded of a commodity to…

Q: quantity demanded decreases by 5%. Using our elasticity formula, calculate price elasticity and

A: Elasticity of demand depicts how much consumer responds with the change in the price level.

Q: Amir is selling lemonade this summer. He says that a 5% decrease in the price of a lemonade will…

A: Price elasticity of demand show the change  of demand due to change in price , so here we calculate…

Q: if the quantity demanded of good A has increased from 8 to 18 units due to the decrease in the price…

A: The cross elasticity of demand is an economic concept that assesses how responsive the quantity…

Q: The cross price elasticity between two goods is +0.9, the initial prices of the two goods are P1 =…

A: The cross-price elasticity measures the correlation between the price of one good and the quantity…

Q: A decrease in the from 150 to R120 results in the demand for the good increasing by 10%. Calculate…

A: Price elasticity of demand measures the responsiveness of demand when price changes.  PEd = %chage…

Q: Define price elasticity of demand.

A: Price elasticity of Demand measure the percentage change in quantity demanded due to percentage…

Q: Which of the following values illustrates the cross-price elasticity of demand for a good that is…

A: For a complement good, the cross price elasticity is negative as the complement is defined as the…

Q: Suppose the income elasticity of demand for jewelry is 2.00. Other things equal, a 10 percent…

A: Price elasticity of demand alludes to how much demand is influenced by changes in price.

Q: The price elasticity of demand for pencils is estimated to be −2.5. If the price of pensils declines…

A:

Q: Egp = -1/9

A: Price elasticity of demand refers to the  percentage change in quantity demanded due to percentage…

Q: During a particular week six months ago, suppose that the price of a 1 pound slab of Scottish Coho…

A: Price elasticity measures the proportional change in quantity demanded in response to a change in…

Q: At price of 20 per unit, the quantity demanded of a commodity is 300 units. If price falls by 10%,…

A: Initial price, P = 20 Decreased price = 20 - (20 x 10 %) Decreased price, P1 = 20 - 2 = 18 Initial…