Draw a demand curve for hotdogs. Label it D1. Draw a second demand curve for hotdogs that shows the effect of a rise in the price of a bottle of ketchup if the cross elasticity of demand for hotdogs with respect to the price of a bottle of ketchup is negative. Label it D2. X is Quantity (millions of hotdogs) Y is Price (dollars per hotdog) X increases from 2,4,6,8,10,12 Y increases from 1,2,3,4,

Income elasticity of demand measures   how responsive price is to changes in quantity demanded. how responsive quantity demanded is to changes in income. how responsive income is to changes in education levels. how responsive quantity demanded is to changes in price.   For the next part, suppose the income elasticity of demand for butter is 0.470.47. That means butter is   an inferior good. a complementary good. a normal good. a substitute good. a luxury good.

Pick a good whose demand is price elastic. Let's find substitutes and five compliments. Which is easy to come up with the list of substitutes or the list of compliments? Explain.

Draw and label a graph that depicts a linear, downward-sloping demand curve for beef brisket. Assume that when Walmart increases the price of beef brisket the revenue from sales of beef brisket increases. Assume that the demand for brisket does not change (the demand curve does not shift). Is the demand for beef brisket price-elastic or price-inelastic?

Assume that you work in a movie theater and you want to increase revenue at the theater after the pandemic. The pandemic has caused people to find many activities that are alternatives to going to the movie theater. Fill in the blanks below with the words that best complete the sentences: Because consumers have found more substitutes for going to the movie theater, price elasticity of demand for movie tickets is more likely to be        [ elastic or inelastic ]. Because of this price elasticity of demand, you should                           [increase or decrease]  the price of movie tickets if you want to increase revenue.

Which of the following must be true if good X is a normal good and income increases? Group of answer choices The demand for X will increase, and thus the price and quantity sold and bought willincrease. The demand for X will decrease, and thus the price and quantity sold and bought willdecrease. The demand for X will increase, and thus the price and quantity sold and bought willdecrease. The demand for X will decrease, and thus the price and quantity sold and bought willincrease.

If income elasticity of demand of good X is 0.89, what will happen to equilibrium price if there is an increase in income of consumers? Draw a diagram to support your answer.

Good X becomes cheaper to produce, decreasing its price. As a result, the demand for good  Y increases. What can you say about the cross-price elasticity between the two goods?  Moreover, discuss whether the two goods are substitutes, complements or neither.