This preview has intentionally blurred sections. Sign up to view the full version.View Full Document
Unformatted text preview: 22. a. Total revenue from children's tickets is $100 and from adult tickets is $250. Total revenue from all sales would be $350. b. The demand for children's tickets is more elastic. c. The adult ticket market has the more inelastic demand. d. The elasticity of demand between $5 and $2 is 0.26, which is inelastic e. The elasticity of demand between $5 and $2 is 1.0, which is unit elastic. f. Total revenue in the adult market would be $320. Total revenue in the children’s market would be $120, so total revenue for both groups would be $440. $440 - $350 is an increase in total revenue of $90. 23. a. A to B b. B to C c. B d. B to C e. A to B f. B g. B h. A to B i. B j. B to C...
View Full Document
- Spring '08
- Supply And Demand, Arc elasticity, Decongestant