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Calculate the price elasticity of demand

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Reference no: EM131913725

Q = 8-2P+0.10I+Px

Where Q is quantity demanded,

P is the price of the product,

I is income, and

Px is the price of a related good.

Assume that P=$10, I=100, and Px=20.

Using the following equation for the demand for a good or service,

a) Calculate the price elasticity of demand

b) Calculate the income elasticity of demand

Reference no: EM131913725

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