There are economics majors and business school students. I will refrain from jokes. Both demand chocolate. For now assume that all economics students have identical individual demand curves and that all business school students have identical demand curves (but different from those of the economics students). There are 1000 econ students and 250 business school students. Each econ student's demand curve is given by qe = 5- 2.5p, where qe is the quantity demanded by an econ student at chocolate price p. Each business school student's demand is given by qp = 4 - 0.8p.

a)What is the own price elasticity of aggregate demand at a price of $3?

b)What is the own price elasticity of aggregate demand at a price of $1?