Question
Jennifer, Henry, and Sam each want some AA batteries which have price p. Their individual demands are: DJ = 5 p DH = 7 2p
Jennifer, Henry, and Sam each want some AA batteries which have price p. Their individual demands are:
DJ = 5 p
DH = 7 2p
DS = 4 p/2
a) Calculate the price elasticity of demand when p = 2, 4, 6. Are there any prices between 0 and 8 where you can't calculate the elasticity?
b) Calculate quantity demanded and consumer surplus at a market price of $3.
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A Course In Environmental Economics
Authors: Daniel J Phaneuf, Till Requate
1st Edition
1316866815, 9781316866818
