If the price of x drops from 1 to 80 cents and the quantity


If the price of X drops from $1 to 80 cents, and the quantity rises from 2,000 pounds purchased to 3,000 pounds purchased what can we say about the relationship between total revenue from the sale of X and the value of the price elasticity of demand? Suppose that the demand for X rises from 2,000 pounds to 2,100 pounds after the price drop. What can we say about the rise in total revenue from the sale of X and the price elasticity of demand in that case?

Solution Preview :

Prepared by a verified Expert
Microeconomics: If the price of x drops from 1 to 80 cents and the quantity
Reference No:- TGS01255092

Now Priced at $15 (50% Discount)

Recommended (90%)

Rated (4.3/5)