Using the mid-point formula calculate the price elasticity of demand for petrol and Hyundai 7.5kW Inverter Split System Air Conditioner (Reverse Cycle). ii. Is the price elasticity of demand: elastic, unit elastic or inelastic for each commodity (petrol and Hyundai 7.5kW Inverter Split System Air Conditioner (Reverse Cycle)? iii. Suppose the government decides to increase tax for petrol and Hyundai 7.5kWInverter Split System Air Conditioner (Reverse Cycle). Use two diagrams to explain the incidence of the tax increase for each commodity
Due to inflation in Australia in December 2019, the
Following this condition, answer the questions below.
i. Using the
and Hyundai 7.5kW Inverter Split System Air Conditioner (Reverse Cycle).
ii. Is the price elasticity of demand: elastic, unit elastic or inelastic for each
commodity (petrol and Hyundai 7.5kW Inverter Split System Air Conditioner (Reverse Cycle)?
iii. Suppose the government decides to increase tax for petrol and Hyundai 7.5kWInverter Split System Air Conditioner (Reverse Cycle). Use two diagrams to explain the incidence of the tax increase for each commodity.
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