Demand for hotdog falls, Calculate the cross-price

Demand for hotdog falls

Assignment Help Business Economics

Reference no: EM136978

Q1. When the price of ketchup rises by 15% the demand for hotdog falls by 1% calculate the cross -price elasticity of demand. Given the elasticity you calculated, did it make sense for supermarket to raise its price?

Q2. Assume that new entry decline your demand elasticity from - 2 to -3 (made demand more elastic). By how much be supposed to you adjust your price of $10? Use (P-MC)/P = 1/ l e l to calculate MC and then use the similar equation to discover out new price. l e l is the unlimited value of demand elasticity.

Reference no: EM136978

Questions Cloud

Per-transaction basis : She is now considering raising her prices by 20 percent to offset the increase in her monthly rent.

What rate of increase in rgdp : Spiny species of diatoms are found both in warm subtropical waters in addition to in colder areas. Since warm water is less dense than cold water, would you predict any differences between the spines of warm-water and cold-water individuals? Why.

What is the phenotypic ratio for the f2 generation : What is the phenotypic ratio for the F2 generation? Demonstrate the work, including your key. what are Harry and Sally's blood types? Show your work. What if blood typing exposed Harry had type O blood.

Recognize the non-mendelian mode of inheritance : A woman from the family with normal cholesterol marries a man with no LDL receptors, and all their children have cholesterol levels twice the normal of the mother.

Demand for hotdog falls : Calculate the cross-price elasticity of demand. Given the elasticity you calculated, did it make sense for supermarket to raise its price.

What are the genotypes of the parents : A cross of black chicken (BB) with the white chicken (WW) produces all speckled offspring (BBWW). This type of inheritance is known as what.

Hiring and retaining the best managers : Coke could have followed the price per unit down, but it didn't. Total soft drink demand increased, and Pepsi took a larger share of the demand.

How much co2 will this free into the atmosphere in a year : Chlamydias and rekettsias were once classified as viruses because of their small size and obligate intracellular growth requirement. What are some of techniques can be used to illustrate that they are really bacteria.

Arguments for trade restrictions : Identify the causes of the crisis, the steps the private and public sector took to resolve it, and what leaders should do to keep it from happening again.

User Account

All Pages