Question 5 Suppose you are a cereal product manufacturer that sells your products through partnered supermarkets all over the country. Each week, you are given the volume data, which include weekly transacted quantities and average prices from each supermarket. You wish to understand the price elasticity of demand by running the following regression with your volume data: log Price;; = a + BQuantity;, + ;; where i is the index for supermarket and t is the index for weeks. Assume you obtain an estimate of f# = 0.5. Explain why the estimate must be wrong. Provide one reason why it could go wrong. Propose one solution to correct your estimate based on the one possible reason you identified. [20 MARKS]