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The demand for haddock has been estimated aslog Q = a + b log P + c log I + d log Pmwhere Q = quantity of haddock sold in New EnglandP = price per pound of haddockI = a measure of personal income in the New England regionPm = an index of the price of meat and poultryIf b = -2.174, c = 0.461, and d = 1.909,a. Determine the price elasticity of demand.b. Determine the income elasticity of demand.c. Determine the cross price elasticity of demand.d. How would you characterize the demand for haddock?e. Suppose disposable income is expected to increase by 5 percent next year. Assuming all other factors remain constant, forecast the percentage change in the quantity of haddock demanded next year.
elucidate what economic factors may influence such behavior
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