1. Business
  2. Economics
  3. o what is the price lsicityofdemand at p 50p ca...

Question: o what is the price lsicityofdemand at p 50p ca...

Question details

o) What is the price lsicityofdemand at P- 50P Ca 2.14. Suppose that the quantity of steel demanded in France is given by Q, 100 2P, 0.5Y+0.2Pa, where i Qs is the quantity of steel demanded per year, P, is the market price of steel, Y is real GDP in France, and PA is the market price of aluminum. In 2011, Ps-10, Y = 40, and PA 100. How much steel will be demanded in 2011? What is the price elasticity of demand, given market conditions in 2011? 2.15. A firm currently charges a price of $100 per unit of output, and its revenue (price multiplied by quantity) is $70,000. At that price it faces an elastic demand (eop-1). If the firm were to raise its price by $2 per
Solution by an expert tutor
Blurred Solution
This question has been solved
Subscribe to see this solution