Answer the following question when looking at the market for tablets: iPad

1) Explain what you believe is the elasticity of demand. Is market for iPad elastic or inelastic? Explain why?

2) Identify and explain one way, government intervenes in this market. Any form of government intervention can be discussed. Explain the government's economic objective and illustrate the impact on the market using supply and demand curves.

3) Provide an estimate of price and quantity sold in a recent period for market of iPad based on available data or estimates. Use whatever parameters are available (i.e. for a recent year for a specific market like Canada, U.S. or global)

4) Using the price and quantity you've identified, consider what would happen if this price were to increase by 10%. Estimate the new industry quantity based on your statement in answer a. about whether or not this industry would be elastic or inelastic. Calculate the elasticity coefficient based on your price and quantity estimates and the industry revenue before and after the price increase.