2. (20 pts) Suppose that there is an outbreak of sea lice in Chilean farmed salmon killing the salmon or ren- dering them unfit for sale. As a result, the price of Alaska salmon in Phoenix increases from $15.00 to $16.00. In the month after the price change, the quantity of Alaska salmon sold (in lbs) decreased from 500,00 to 475,000. i) What is the elasticity of demand at this time scale? ii) Is demand elastic or inelastic? iii) If prices stay the same for several months, do you expect the change in consumption from the first few days to increase, decrease, or stay the same? Briefly explain your reasoning