Problem
1. If the price elasticity of demand for gasoline is 0.3 and the current price is $3.20 per gallon, what rise in the price of gasoline will reduce its consumption by 10 percent?
2. Which of the following product pairs would you expect to be substitutes, and which would you expect to be complements?
a. Shoes and sneakers
b. Gasoline and sport-utility vehicles
c. Bread and butter d. Instant camera film and regular camera film
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.