ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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When Home depot charges $93 for a children's game, they sell 100 units.  When they charge $85, they sell 120 units.

If they were to give away the game for free, how many units (Q) would be demanded?

Expert Solution
Check Mark
Step 1

Using the given data:

Economics homework question answer, step 1, image 1

P=Price is the dependent variable

Q=Quantity demanded is the independent variable.

We run a regression and obtain the following result:

Economics homework question answer, step 1, image 2

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