Elasticity of demand for your parking lot spaces
Problem: Suppose your elasticity of demand for your parking lot spaces is -2 and the price is $8 per day. If your MC is zero and your lot is 80 percent full at 9 a.m. over the last month, are you optimizing?
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Suppose your elasticity of demand for your parking lot spaces is -2 and the price is $8 per day.
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