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Calculate the price elasticity of demand for good x

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Reference no: EM132632266

The demand for good X is given by Qdx= 1,245-0.5Px+0.25Py-8Pz+0.1I. Good X sells for $6,000 (Px=$6,000). Research shows that the prices of the related goods are given by Py=$5,900 and Pz=$90, while the average income of individuals consuming this product is I= $55,000.

a. Calculate the price elasticity of demand for good X at the current price of X.

b. Calculate the crocs-price elasticity of demand for good X, with respect to price of good Y.

c. Calculate the income elasticity of demand for good X

Reference no: EM132632266

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