Netflix estimates that North American demand for its streaming service has an elasticity of approximately -1.5. In 2022, 74 million subscribers generated revenues of just over $14 billion at an effective price of about $15.75 per month. What would you expect revenues to be at a price of $18 per month? What about $12 per month

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To estimate the change in revenues based on the price elasticity of demand we can use the following ... View the full answer