0
   

Microeconomics, point elasticity of demand

 
 
Reply Sat 20 May, 2017 11:42 am
Hey guys can you help me. The following demand function has been estimated for Fantasy Pinball machines:

QD = 3,500 – 40P + 17.5Px + 670U + 9A + 6,500N

Where P = monthly rental price of Fantasy Pinball machines
Px = monthly rental price of Old Chicago pinball machines (a competitor) U = current unemployment rate in the 10 largest metropolitan areas A = advertising expenditures for Fantasy Pinball machines in thousands of dollars N = fraction of the US population between 10 and 30

a) What is the point elasticity of demand with respect to Fantasy Pinball machines when P = $150, Px= $100, U=0.12, A = $200,000 and N = .35?
  • Topic Stats
  • Top Replies
  • Link to this Topic
Type: Question • Score: 0 • Views: 1,253 • Replies: 1
No top replies

 
ekename
 
  1  
Reply Sat 20 May, 2017 09:20 pm
@gintare9,
https://www.youtube.com/watch?v=K5CHS-ga0Xc
0 Replies
 
 

Related Topics

Who or What is Responsible? - Discussion by Merry Andrew
Debt ceiling? - Question by Buffalo
The Legacy of the Reagan Revolution - Discussion by Cycloptichorn
Let it crash - Discussion by FreeDuck
No real limits to growth - Discussion by gungasnake
Sovereign debt - Question by JohnJD
Wage discrimination - Question by zewittykitty
Central Bank Operations? - Question by NewToEcons
Frictional unemployment vs structural - Question by MateuszJanczura
 
  1. Forums
  2. » Microeconomics, point elasticity of demand
Copyright © 2024 MadLab, LLC :: Terms of Service :: Privacy Policy :: Page generated in 0.04 seconds on 04/25/2024 at 10:51:45