Find what is the price elasticity of demand

Reference no: EM13204266

The demand function for bicycles in Mapleville is estimated to be
Qd = 2,500 + 10Y - 6 P
Where Y denotes income in thousands, Qd is the quantity demanded in units, and P is the price of bicycles. When P = $120, Y = 12,

a. What is the price elasticity of demand?

b. What is the income elasticity of demand?

Reference no: EM13204266

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