The linear demand model derived by Hanke and de Marg (1982) for Malmo, Sweden, is where Q

Question:

The linear demand model derived by Hanke and de Marg (1982) for Malmo, Sweden, is

where Q is the quantity of metered water used per house per semiannual period (m3).
Inc is the real gross income per house per annum (in Swedish crowns; actual values reported per annum and interpolated values used for mid-year periods).
Ad is the number of adults per house per semiannual period.
Ch is the number of children per house per semiannual period.
R is the rainfall per semiannual period (mm).
Age is the age of the house, with the exception that it is a dummy variable with a value of l for houses built in 1968 and 1969, and a value of 0 for houses built between 1936 and 1946.
P is the real price in Swedish crowns/m3 of water per semiannual period (includes all water and sewer commodity charges that are a function of water use).
Using the average values of P = 1. 5 and Q = 81. 4 for the Malmo data, determine the elasticity of demand and interpret the result.