2. You are the Bridgestone tires distributor for Manatee County. You hire a consultant to estimate the demand for your product. Here is the estimated demand curve that he provided: Q = 25']? 0.5 Pg 4.110! ail-as Where Q stands quantity of Bridgestone tires [in hundreds), P is the price of Bridgestone tires [in dollars}, PE is the price of gasoline (in dollars per gallon), P! is the price of Firestone tires (in dollars), and I is average income irt Manatee County (in thousands of dollars}. a. Upon examining this estimated demand curve, you promptly re the consultant and file suit to get your money back. Why was this the correct action?r Your new consultant provided the following demand curve (the variables are dened as above] Q : 250}:- 4.5113 4121:! Lift\" 3 Assume that this estimate is as close to correct as possible. Use it to answer the following questions. b. Is the demand for Bridgestone tires elastic, inelastic or unitary elastic? o. Is gasoline a substitute or complement for Bridgestone tires? d. What is the cross price elasticity between Bridgestone and Firestone tires? e. Due to an increase in the price of rubber, you need to raise the price of Bridgestone tires by 3%. By what percent and in what direction does quantity demanded change? 1". Next year, income in Manatee county is forecast to increase by 4%. What do you expect to happen to the demand for Bridgestone tires? g. Assuming that this demand is correct, are you maximizing prots, or not? Why [or why not]