8) You own San Antonio's top rated food truck that sells the best carne asada tacos (good...
Question:
8) You own San Antonio's top rated food truck that sells the best carne asada tacos (good A) but the burger food truck (good B) next door just started a promotional sale: The burger truck dropped/decreases their prices 22.5% This has caused the quantity demanded of tacos to decrease by 12.5%
- Find the cross elasticity of demand (for tacos with respect to the price of burgers)
- Determine whether the cross-elasticity demand for a substitute is positive or negative.
9) You recently received a 20% raise at work (change in income). Now that you're making money you shop only at Central Market H-E-B. Your grocery bill (quantity demanded) for groceries has gone up by 12%.
- Find the income elasticity of demand
- Determine whether the income elasticity of demand is positive or negative.
International Marketing And Export Management
ISBN: 9781292016924
8th Edition
Authors: Gerald Albaum , Alexander Josiassen , Edwin Duerr