1. The demand for good X has been estimated to be InQxd = 100-2.5 InPx + 4 InPy + 2lnM. The income elasticity of good X is A. 4.0 B. 1.0 C. 20 D. -25 2. Suppose the demand function is given by Qxd = 8PX0.5 p0.50 MO.12 H. Then the cross-price elasticity between goods X and Y is: A. 4.00 B. 0.25 C. 0.50 D. 8.33 3. Suppose the own-price elasticity of demand for good X is -1.5, and that the price of good X increases by 10%. What would you expect to happen to the total expenditures on good X? A. Increase B. Decrease C. Unchanged D. Neither increase, decrease nor remain unchanged 4. What is the maximum amount of good X that can be purchased if X and Y are the only two goods available for purchase and Px = $5, Py = $10, X = 20, and M = 500? A. 100 B. 25 C. 50 D. 75