Calculate the own-price elasticity of your demand


Problem: Consider a service that you buy frequently. (Can use pedicure 2 times per month at $50 for graph and calculation)

1. Suppose that the price was 5% lower and all other factors do not change. How much more would you buy each year?

2. Using this information, calculate the own-price elasticity of your demand.

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Microeconomics: Calculate the own-price elasticity of your demand
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