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In 2021, the consumption of cigarettes in Manchester was 470 packs. The average retail price was 2.35 per pack. Estimates have shown that the price
In 2021, the consumption of cigarettes in Manchester was 470 packs. The average retail price was 2.35 per pack. Estimates have shown that the price elasticity of demand is -0.4, and the price elasticity of supply is 0.5. Using this information, derive linear demand and supply curves for the cigarette market. ( 30 marks )
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