Question
Both Organic and non-organic eggs have a -0.99 price elasticity of demand, so why do organic eggs and non-organic eggs have the same elasticity? What
Both Organic and non-organic eggs have a -0.99 price elasticity of demand, so why do organic eggs and non-organic eggs have the same elasticity? What do you expect the cross-price elasticity between organic and non-organic eggs to show? (Think
about sign and magnitude)
Is it because both are critical/necessity items and that they could be substitutes for each other?
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Microeconomics Principles, Problems and Policies
Authors: Campbell R. McConnell, Stanley L. Brue, Sean Masaki Flynn
20th edition
978-0077660819, 77660811, 978-1259450242
