1. (Elasticity Related Question) The following Table-1 shows the price and quantity demanded for good X...

 

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1. (Elasticity Related Question) The following Table-1 shows the price and quantity demanded for good X and good Y and the income of the consumer. Using this table answer the following questions. Table-1: Price and Quantity Demand of Good X and Good Y 3 Good X Good Y Income Price (dollar) Quantity Demanded Price (dollar) Quantity Demanded $10 6 $6 10 $3 $2 2 $50 $60 (i) (ii) (iii) (iv) Calculate the price elasticity of demand for good X and good Y. Make comments on the types of elasticity. Calculate the income elasticity of good X and good Y. Are both goods normal? Calculate the cross price elasticity and explain how they are related. Comments on the change in total revenue of good X and good Y when price decreases from $10 to $6 for the product X and $3 to $2 for the product Y. 1. (Elasticity Related Question) The following Table-1 shows the price and quantity demanded for good X and good Y and the income of the consumer. Using this table answer the following questions. Table-1: Price and Quantity Demand of Good X and Good Y 3 Good X Good Y Income Price (dollar) Quantity Demanded Price (dollar) Quantity Demanded $10 6 $6 10 $3 $2 2 $50 $60 (i) (ii) (iii) (iv) Calculate the price elasticity of demand for good X and good Y. Make comments on the types of elasticity. Calculate the income elasticity of good X and good Y. Are both goods normal? Calculate the cross price elasticity and explain how they are related. Comments on the change in total revenue of good X and good Y when price decreases from $10 to $6 for the product X and $3 to $2 for the product Y.