Determine what is the price elasticity of demand

Reference no: EM13179584

The demand for personal computers has been estimated to be Q = 500,000 - 700P +200I - 500S. Assume that per capita income I is $13,000 and the average price of software S is $400. When the price of personal computers is P=$3000, what is the price elasticity of demand?

Reference no: EM13179584

Questions Cloud

What is the total number of turkeys caught by avatarians : Assume an avatarian with no training can catch 1 turkey per month. How many turkeys per month can an avatarian with 5 years of training catch? With 8 years of training? With 10 years of training? With 15 years of training? (b) Assume there are 100..

How is the human development index : What are its limitations as an economic measurement? How is the Human Development Index (HDI) a better barometer of economic well-being? What are its advantages and disadvantages?

Calculate the optimal number of machines for the lowest cost : The machining time per piece if 0.164 h, and the machine loading time is 0.038h. With an operator rate of $12.80/h and a machine rate of $14/h, calculate the optimal number of machines for the lowest cost per unit of output.

Develop a 90% confidence interval for population mean gpa : At a particular academically challenging high school, the average GPA of a high school senior is known to be normally distributed with a variance of 0.25. A sample of 20 seniors is taken and their average GPA is found to be 2.71

Determine what is the price elasticity of demand : The demand for personal computers has been estimated to be Q = 500,000 - 700P +200I - 500S. Assume that per capita income I is $13,000 and the average price of software S is $400. When the price of personal computers is P=$3000,

Find a 90% confidence interval for the mean amount : In an examination of purchasing patterns of shoppers, a sample of 16 shoppers revealed that they spent, on average, $54 per hour of shopping. Based on previous years, the population standard deviation is thought to be $21 per hour of shopping.

Explain the citric acid cycle has a catabolic role : The citric acid cycle has a catabolic role, oxidizing acetate into CO2 and generating energy, and an anabolic role. Many of the citric acid cycle intermediates serve as precursors for the biosynthesis of larger molecules. Move each of the followin..

Structures for all products of methyl : Consider All the by products that will be formed by E1/E2 processes for the reaction of 2-methyl, Provide structures for all possible by products b) which alkene would be favored and why?

What would be the inflation rate for equation of exchange : If the quantity of money rose 10%, velocity was unchanged, and output rose 6%, what would be the inflation rate, according to the equation of exchange? Equation given: (Quantity of Money) * (It's velocity) = (Price level) * (Output) or ((QM) * V ..

User Account

All Pages