This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Compute the elasticity of demand for the demand curve p = 15Q-0.7. Does the elasticity vary with the ... (Read 16 times)

daltonest1984

  • Hero Member
  • *****
  • Posts: 536
on: Jul 1, 2018
Compute the elasticity of demand for the demand curve p = 15Q-0.7. Does the elasticity vary with the price?
 
  What will be an ideal response?

Question 2

Joe's budget constraint equals 500 = 2F + 100S, where 500 is Joe's income, 2 is the price of food (F, y-axis) and 100 is the price of shelter (S, x-axis). How much food can Joe buy if he buys one unit of shelter?
 
  A) 2 units
  B) 200 units
  C) 250 units
  D) 400 units


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

JYan

  • Sr. Member
  • ****
  • Posts: 331
Reply #1 on: Jul 1, 2018
Answer to Question 1

For constant elasticity demand as this, the elasticity is the same throughout the demand curve. E = -0.7

Answer to Question 2

B


daltonest1984

  • Member
  • Posts: 536
Reply 2 on: Jul 1, 2018
Gracias!

miss_1456@hotmail.com

  • Member
  • Posts: 289
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

« previous next »
 

Did you know?

The use of salicylates dates back 2,500 years to Hippocrates’s recommendation of willow bark (from which a salicylate is derived) as an aid to the pains of childbirth. However, overdosage of salicylates can harm body fluids, electrolytes, the CNS, the GI tract, the ears, the lungs, the blood, the liver, and the kidneys and cause coma or death.

Did you know?

Your heart beats over 36 million times a year.

Did you know?

Fatal fungal infections may be able to resist newer antifungal drugs. Globally, fungal infections are often fatal due to the lack of access to multiple antifungals, which may be required to be utilized in combination. Single antifungals may not be enough to stop a fungal infection from causing the death of a patient.

Did you know?

Vital signs (blood pressure, temperature, pulse rate, respiration rate) should be taken before any drug administration. Patients should be informed not to use tobacco or caffeine at least 30 minutes before their appointment.

Did you know?

Human kidneys will clean about 1 million gallons of blood in an average lifetime.

A potentiometer uses a movable contact to vary resistance and send an analog voltage to the PCM. A potentiometer uses a movable contact to vary resistance and send an analog voltage to the PCM.
Marginal Supply - Demand Curve Marginal Supply - Demand Curve
China has relied on cheap coal to meet its demand for energy China has relied on cheap coal to meet its demand for energy
Growth in the demand for oil from the developing world Growth in the demand for oil from the developing world
Suppose the market supply curve is p = 5Q. If price increases from 10 to 15, the change in ... Suppose the market supply curve is p = 5Q. If price increases from 10 to 15, the change in ...
Saturation curve for hemoglobin of humans, llamas, and other mammals. Saturation curve for hemoglobin of humans, llamas, and other mammals.
Video: Bipolar Disorder

For a complete list of videos, visit our video library