Calculate income elasticity of demand, Microeconomics

When Alex's income increased from $3,000 to $5,000, he increased his consumption of bagels from 4 to 8 a month and decreased his consumption of donuts from 12 to 6 a month. Calculate Alex's income elasticity of demand for

a. Bagels.

b. Donuts.

 

 

Posted Date: 2/27/2013 12:13:08 AM | Location : United States







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