Just a year after you launched the expansion of DWJ, inflation has raised your marginal cost by 7% from $198.33 to $212.21. Your elasticity varies for each of the three regions in which you sell your DWJ brand. In the Southwestern region your price elasticity of demand is -2.76. In your upper western-region your price elasticity of demand is -3.50. In your New Englandregion the price elasticity of demand is -5.76. Predict the percentage change in quantity demanded if you were to raise prices in all three regions by 7%. Use %ΔQd/%ΔP = e to complete the estimate a. %ΔQd Southwestern b. %ΔQd upper western c. %ΔQd New England xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx These are the answers that I got: 0.1932 Move the decimal two spaces to the right and you will have 19.32 or 19% percent change in quantity demanded for the Southwestern region Western Region is 0.245 or 24.5 or 25% NE Region is 0.4032 or 40.32 or 40% Is the right?
Just a year after you launched the expansion of DWJ, inflation has raised your marginal cost
by 7% from $198.33 to $212.21. Your elasticity varies for each of the three regions in which
you sell your DWJ brand. In the Southwestern region your
In your upper western-region your price elasticity of demand is -3.50. In your New Englandregion the price elasticity of demand is -5.76.
Predict the percentage change in quantity demanded if you were to raise prices in all three
regions by 7%.
Use %ΔQd/%ΔP = e to complete the estimate
a. %ΔQd Southwestern
b. %ΔQd upper western
c. %ΔQd New England
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
These are the answers that I got:
0.1932 Move the decimal two spaces to the right and you will have 19.32 or 19% percent change in quantity demanded for the Southwestern region
Western Region is 0.245 or 24.5 or 25%
NE Region is 0.4032 or 40.32 or 40%
Is the right?
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
