Answer the following questions appropriately.

Consider an economy in which there are only two goods, Good X and Good Y, which currently cost 50 and 20 respectively. Total consumer income is 1000, which is currently used to purchase 10 units of Good X and 25 units of Good Y. Suppose that the price of Good X falls to 40 and that consumption of Good X increases to 12 units. (i) Calculate the price elasticity of demand for Good X. [1] (ii) Calculate the cross-price elasticity of demand for Good Y with respect to the price of Good X and comment on your answer. [3] [Total 4]The future lifetime of a new-born person is defined to be the random variable 7, which is continuously distributed on the interval [0,], where 0 40 |T > 25) (b) P(40 25) [2]