Suppose that the market demand for beef is given by QD = 200 6P + 2Y, where P

is the price of meat per kg and Y is the consumers' income. Suppose that

consumers' income is 100. If the price of beef decreases from 10 to 8 per kg,

find the corresponding elasticity of demand. Now suppose that the price is fixed

to 8 while consumers' income increases from 100 to 150; find the

corresponding income elasticity of demand. Is beef a normal good?