Assume that the percentage increase in the price of product X ( %ΔPx) is 4% and the percentage change in quantity demanded in product Y ( %Δqd) is -5%, find the cross price elasticity (Eyx), are product X and Y substitutes or complements?

If the price elasticity of demand for a good is 4, then a 12 percent decrease in price results in a 0.33 percent increase in the quantity demanded. 3 percent increase in the quantity demanded. 30 percent increase in the quantity demanded. 48 percent increase in the quantity demanded.

Suppose that the price elasticity of demand for a packet of cigar is -0.85 and the price elasticity of supply is 1.5 at market equilibrium. As a result of an increase on sales tax, the new equilibrium price rises by 15%. (a) What is the percentage change in quantity demanded of cigar? Show your calculation.

The cross-price elasticity between the good sold in this market (call it X) and another good (Y) is εXY = –0.80. The cross-price elasticity between the good X and good Z, on the other hand, is εXZ = 1.50. Are X and Y substitutes, complements, or unrelated? How about X and Z? Explain.

If a 10​-percent increase in price decreases the quantity demanded by 36 ​percent, the price elasticity of demand is 11.​(Enter your response as an absolute value rounded to one decimal​ place.) Note: Don't use chat gpt.

The price of apples go up by 20%, causing the quantity demanded of peaches to go up by 15%. Which one of the following is true? a) Apples and peaches are complementary goods. b) The own-price elasticity of apples is 0.75. c) The cross-price of apples with respect to peaches is negative. d) The cross-price elasticity of peaches with respect to apples is positive.

Consider the following demand function. Quantity demanded, Q, is a function of Price, P, such that Q=1/P. The change in the quantity demanded for a change in the What is the price elasticity of demand? price (the slope) is known to be 0 1 8 P 0-1/1/212 P² - 1 P2

If the supply elasticity of pork is 0.46, by how much will quantity supplied increase if price increases by three percent? Is the supply for pork elastic or inelastic?

Suppose the Constant Elasticity demand function is Q = K ×p15 × p24 × I7. Calculate the own price, cross prices and income elasticity of demand.

If the price elasticity of demand for a product is -2, this means that, ceteris paribus, quantity demanded will increase by 1 unit for each $2 decrease in price. 1 percent for each 2 percent decrease in price. 2 units for each $1 decrease in price. 2 percent for each 1 percent decrease in price.