1. Exercise 14.1 The price elasticity of demand for a textbook sold in the United States is estimated to be -2, whereas the price elasticity of demand for books sold overseas is -3. The U.S. market requires hardcover books with a marginal cost of $40; the overseas market is normally served with softcover texts on newsprint, having a marginal cost of only $15. and the profit-maximizing price in the overseas market is (Hint: Remember The profit-maximizing price in the U.S. market is that MR = P x (1 + E.)) 1. Exercise 14.1 The price elasticity of demand for a textbook sold in the United States is estimated to be -2, whereas the price elasticity of demand for books sold overseas is -3. The U.S. market requires hardcover books with a marginal cost of $40; the overseas market is normally served with softcover texts on newsprint, having a marginal cost of only $15. and the profit-maximizing price in the overseas market is (Hint: Remember The profit-maximizing price in the U.S. market is that MR = P x (1 + E.))