*This will NOT be submitted as a tutors work, I just want to get the concept straight.

2.1 Demand for refrigerators is increasing in many developing countries^. You're working for the refrigerator producer Kamet in India and you have results from two statistical studies. The first on the aggregate demand for refrigerators (lumping together all brands) and the second specifically studies demand for Kamet's top of the line model called Kelvin, and its close competitors.

a)Assume that the own-price elasticity of demand for Kelvin to be -4.5. How much less of Kelvin do you expect to sell if you raise the price by 10 percent?

b)We expect that the own price elasticity of aggregate demand for refrigerators to be less elastic than the product specific own price elasticity of demand. Why?

c)The closest competitor to Kelvin is Celcius. The cross-price elasticity of demand for Kelvin with respect to the price of Celcius is 0.4. If the price of Celcius were to increase by 10 percent, what would happen to demand for Kelvin?