Suppose the following nonlinear demand function is estimated using regression analysis:

Q= aP^bM^cP^d_y

DEPENDENT VARIABLE:

LNQ

OBSERVATIONS:

44

VARIABLE

PARAMETER

ESTIMATE

STANDARD

ERROR

T-RATIO

P-VALUE

INTERCEPT

-2.00

0.40

-5.00

0.0001

LNP

-1.10

0.44

-2.50

0.0166

LNM

2.40

0.60

4.00

0.0003

LNPR

-0.20

0.05

-4.00

0.0003

These estimates indicate that the demand for the good is