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1. Suppose the demand for inkjet printers is estimated to be Q = 1000 - 5p + 10pX - 2pZ + 0.1Y. If p = 80, pX = 50, pZ = 150, and Y = 20,000, answer the following sub-questions:
a. What is the price elasticity of demand?
b. What is the cross-price elasticity with respect to commodity X? Is commodity X a substitute or a complement?
c. What is the cross-price elasticity with respect to commodity Z? Is commodity Z a substitute or a complement?
d. What is the income elasticity?
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