A person earns $3,000 per month and received a $500 raise for a total income of $3,500. Prior to the increase in salary this person used to eat in restaurants 12 times per month. After their raise their dining out increased to 14 times a month. Calculate the Income Elasticity of Demand - show all of your work - please be NEAT What is the Coefficient? What does the Coefficient indicate as to whether this 'good/service' is considered Luxury, Normal or Inferior Good? What would your answers to each of the the three questions above be if the number of times this person dined out decreased to 10 times per month