1.Let's examine the history of LSUS undergraduate enrollment vs. its tuition and fees. Download the "A3Q1 LSUS enrollment data" Excel file; in it you will see historical information on LSUS undergraduate enrollment, total credit hour production, and (12-hour) tuition and fees. (If you wish, you can verify or look up additional information here, here, and here.)

Calculate annual elasticities for both types of quantity variables (i.e., you will have an elasticity of price vs. headcount, and one of price vs. credit hour). You will get an error message in your calculations when the tuition doesn't change from 2006-2007 and 2016-2017, since the elasticity calculation will be trying to divide by zero; just delete those error values in your Excel table so that the cells are blank. The first headcount elasticity will be calculated based on the 2000 and 2001 values of tuition and headcount and should be about -0.008; the first credit hour elasticity will also be based on the 2000 and 2001 values and should be about 0.359). Calculate the average annual elasticity for headcount (from 2000-2018), and the average annual elasticity for credit hour (from 2000-2018).

Many administrators argue that, to increase revenue to LSUS to cover budget shortfalls, tuition should be raised. Comment on this suggestion, using the evidence you've uncovered.

Year 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 undergrad total LSUS undergrad tuition and fees 3,422 90,624 $1,025 3,419 94,446 $1,150 3,543 96,039 $1,184 3,655 101,352 $1,442 3,910 101,868 $1,545 3,940 100,181 $1,621 3,594 92,486 $1,667 3,556 92,123 $1,667 3,903 94,639 $1,751 4,220 101,972 $1,867 4,058 98,137 $2,062 4,134 98,372 $2,247 4,124 93,163 $2,472 3,674 85,292 $2,803 3,202 87,907 $3,084 2,775 91,021 $3,355 2,587 94,077 $3,417 2,638 115,340 $3,417 2,511 137,467 $3,663