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Question

The demand function of the product (X) your company sells is given as: Qx = 100 - 3P + 4Py + 0.001M. IF the price

of your company's product is 20, price of product Y is 30, and average income of consumers (given a M) is $18,000 then

Top Answer

Product X an Y are Substitute good. because the positive sign of Py... View the full answer

IMG_4095.jpg

Qy : 100 - 31 +4 Py +050Im.
given, P = 20 Py = 30
M - 18500
Q X =
160 -(3# 20) +(4 x 30 ) 7/001 x 18000)
= 100 - 60 + 120 + 18
= 238 - 60
QX
= 178
O Product x and y
Price of y is positively related...

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