Question 1 For each demand function, find an expression for the price elasticity of demand. The answer will typically be a function of the price, p.
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Question 1 For each demand function, find an expression for the price elasticity of demand. The answer will

typically be a function of the price, p. As an example, consider the linear demand curve, D(p) = 30−6p. Then dD(p)/dp = −6 and p/q = p/(30−6p), so the price elasticity of demand is ε = −6p/(30−6p). a) D(p) = 60 − p b) D(p) = a − bp c) D(p) = 40p −2 d) D(p) = Ap−b

Function of elasticity of demand in each part will be: (a) E D =... View the full answer

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