The store selling maize meal makes a further discovery, when the price of rice changes from R30 per kg to R26 per kg, then the quantity of maize demanded decrease from 1360 kg per month to 1238 kg per month. Use this information to answer Q3.2.1 and Q3.2.2 below. Q3.2.1 Use the point method to calculate the cross elasticity of demand for these products. (Formula + calculation) Q3.2.2 Comment on the significance of your solution in Q3.2.1 Q3.3 Identify three factors that are likley to affect the price elasticity of supply for rice. Clearly indiacte the impact that each factor will have on the price elasticity.
The store selling maize meal makes a further discovery, when the price of rice changes from R30 per kg to R26 per kg, then the quantity of maize demanded decrease from 1360 kg per month to 1238 kg per month. Use this information to answer Q3.2.1 and Q3.2.2 below. Q3.2.1 Use the point method to calculate the cross elasticity of demand for these products. (Formula + calculation) Q3.2.2 Comment on the significance of your solution in Q3.2.1 Q3.3 Identify three factors that are likley to affect the price elasticity of supply for rice. Clearly indiacte the impact that each factor will have on the price elasticity.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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The store selling maize meal makes a further discovery, when the
Q3.2.1 Use the point method to calculate the cross
Q3.2.2 Comment on the significance of your solution in Q3.2.1
Q3.3 Identify three factors that are likley to affect the price elasticity of supply for rice. Clearly indiacte the impact that each factor will have on the price elasticity.
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