a) When the price of digital SLR cameras was $2,000, consumers bought 4,000 units. When the price

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a) When the price of digital SLR cameras was $2,000, consumers bought 4,000 units. When the price fell to $1,200, consumers bought 14,000 units. Using the midpoint method, calculate the price elasticity of demand between these two prices.

b) From your answer computed in part a, is demand elastic, unit elastic or inelastic? Explain why.

Related Book For answer-question

Price theory and applications

ISBN: 978-0538746458

8th edition

Authors: Steven E landsburg

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Posted Date: Jul 31, 2018 03:38 AM

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a) When the price of digital SLR cameras was $2,000, consumers bought 4,000 units. When the price

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a Price elasticity of demand percent ... View the full answer

Price theory and applications

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