The demand function for Good A is given by QA = 100 - 2 PA + 0.2 Y + 0.3 PB.
Find the cross - price elasticities of demand at PA = 6, Y = 500, PB = 10.
1
0.06
2
0.016
3
0.52
4
- 0.06
The demand function for Good A is given by QA = 100 - 2 PA + 0.2 Y + 0.3 PB.
Find the cross - price elasticities of demand at PA = 6, Y = 500, PB = 10.