For each of the following statements, state the relevant elasticity and state what its value should be (negative, positive, greater than one, zero, and so on).

1. The demand for Chanel bags increases during times of rising incomes just slightly faster than income rises.
2. The quantity of salmon demanded falls when salmon prices rise (all else equal), but the revenue received by restaurants from sale of salmon stays the same.
3. The demand for Dell laptops rises when the price of HP laptops rises

Answer rating: 100% (QA)

Heres a breakdown of the statements with the relevant elasticity and its value Statement 1 The deman... View the full answer