1.  
2. Calculate the income elasticity of demand for the following demand functions and assess its magnitude (is the good normal, inferior, a luxury or a necessity?). 
3.  
4. Q =50 -10p + 3Y, at p = 2 and Y = 20

2. Q = 5 - 20p + 4Y, at p = 1 and Y = 50

3. Q = 70 – 3p – 2Y, at p = 15 and Y = 5

4.   Q = 35 - 20p + 0.5Y, at p = 1.5 and Y = $1,000,000,000
5.