Calculate income elasticity of demand

Assignment Help Business Economics

Reference no: EM13838088

When Alex's income was $3000, he bought 4 bagels and 12 donuts a month. Now hus income is $5000 and he buys 8 bagels and 6 donuts a month.

Calculate Alex's income elasticity of demand for

a. Bagel

b. Donuts

Reference no: EM13838088

Questions Cloud

Implement the er model of assignment : You are to design and implement the ER model of assignment-1, including entities/associative entities, relationships and cardinalities, into a Microsoft Access database.

The best networking traits you can develop is : the best networking traits you can develop is

What is the impact on aggregate expenditures and income : Personal income taxes are reduced as part of an expansionary fiscal policy. What is the impact on aggregate expenditures and income?

Sample mean will be within two of the population mean : A population has a standard deviation of 16. If a sample of size 64 is selected from this population, what is the probability that the sample mean will be within 2 of the population mean?

Calculate income elasticity of demand : When Alex's income was $3000, he bought 4 bagels and 12 donuts a month. Now hus income is $5000 and he buys 8 bagels and 6 donuts a month. Calculate Alex's income elasticity of demand for a. Bagel b. Donuts

Why is the hr department playing a more significant role : Why is the HR department playing a more significant role in organization strategic planning today than it did 20 years ago? What can managers do to minimize their chances of litigation and of being found negligent with regard to sexual harassment

What is the slope of the budget line from trading : Suppose that you are on a desert island and possess exactly 20 coconuts. Your neighbor, Friday, is a fisherman, and is willing to trade 2 fish for every coconut that you are willing to give him. What is the slope of budget line from trading with Frid..

Next two days this item is requested more than once : In an inventory analysis it was concluded that, on the average, demands for a certain item were made 2 times per day. What is the probability that on the next 2 days this item is requested more than once?

Determine or influence the recommendation for action : Which theory or theories are being used by Jessica, Marco, Maria, and Dr. Wilson to determine the moral status of the fetus? Explain - How does the theory determine or influence each of their recommendation for action?

User Account

All Pages