Given: Market for FlowersPrice ofFlower/boquet100Qd (x) ofFlower/boquet40Fertilizer (f) forFlower/bag70PointPrice of CandleConsumer(z) /piece40Income (I)(Time)A10,00015,00020,000330326090C50020701101. Own price elasticity of demand (Pn) C A,2. Income elasticity (ny) A-C; (inferior or normal good?)3. Cross-price elasticity (nxz) B-C; (substitute or complementary?)4. Input-price elasticity (nf) AB

Given: Market for Flowers Price of Flower/boquet 100 330 500 Qd (x) of Flower/boquet 40 Point Price of Candle Fertilizer (f) for Flower/bag 70 Consumer Income (I) 10,000 15,000 20,000 (Time) A (z) /piece 40 32 60 90 C 20 70 110 1. Own price elasticity of demand (Pn) C A, 2. Income elasticity (ny) A C; (inferior or normal good?) 3. Cross-price elasticity (nxz) B→C; (substitute or complementary?) 4. Input-price elasticity (nf) A-B

Given: Market for Flowers Price of Flower/boquet 100 330 500 Qd (x) of Flower/boquet 40 Point Price of Candle Fertilizer (f) for Flower/bag 70 Consumer Income (I) 10,000 15,000 20,000 (Time) A (z) /piece 40 32 60 90 C 20 70 110 1. Own price elasticity of demand (Pn) C A, 2. Income elasticity (ny) A C; (inferior or normal good?) 3. Cross-price elasticity (nxz) B→C; (substitute or complementary?) 4. Input-price elasticity (nf) A-B

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter5: Elasticity

Section: Chapter Questions

Problem 25CTQ: Transatlantic air travel in business class has an estimated elasticity of demand of 0.62, while...

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