Q1: https://criticalcommons.org/Members/joyofecon/clips/vurtego

Watch the Shark Tankvideo cliphttps://criticalcommons.org/Members/joyofecon/clips/vurtego

where the sharks hear a business pitch from the founder ofVurtego Pogo Sticks then answer the following questions:

1. The sharks recommend that Brian Spencer at least double the price of his pogo sticks.Explain why in terms of price elasticity of demand.

Q2: What is the predominant factor for why Vurtego Pogo Sticks have the price elasticity ofdemand that they do?

Q3:Watch theShark Tank video clip https://criticalcommons.org/Members/joyofecon/clips/pursecase/view

where the sharks hear a business pitch from the founders ofPurse case then answer the following questions:

1. Kevin O'Leary suggests that Jenn and Kelley decrease the price of their product by50% and sell 10 times as many. That is, he predicts if they drop the price of their productfrom $40 to $20 they will increase their quantity demanded from 6,000 to 60,000.Calculate the price elasticity of demand for Purse cases using this information.

Q4:Based on the price elasticity of demand; are Pursecases elastic, inelastic, or unit elastic?Is Kevin O'Leary correct that revenues will increase if they reduce the price of Pursecaseby 50%?