- Identify and explain three of the factors that help determine how elastic demand for a particular good is. Discuss how the factors you select would help explain the price elasticity of demand for a sweater from the Banana Republic.
- Justin Bieber has released a new exercise video for his loyal fans. If he charges a $20 subscription fee, he expects to sell 100,000 subscriptions; if he charges $30, he expects to sell 60,000. Calculate the elasticity of demand for this product between those two points. Is this demand elastic or inelastic?
- Johnny used to make $2,500 a month and eat sushi three times per month. Now he is making $3,500 a month and is eating sushi seven times per month. What is Johnny’s income elasticity of demand for sushi? For Johnny, is sushi 1) a normal good or an inferior good, and 2) a necessity or a luxury?
- Netflix raises its service price from $11 per month to $14 per month. This causes the number of people subscribing to HCCCtinder – a school-specific dating app – to increase from 2,200 to 2,500. What is the cross-price elasticity of demand? Based upon your answer, are Netflix and HCCCtinder substitutes or compliments?
In this discussion, reflect on your post in the Module One discussion and what you thought made an organization successful. Compare that to what you
In this discussion, reflect on your post in the Module One discussion and what you thought made an organization successful. Compare that to what you have learned in this course and consider if your views might have changed. In your initial post, address the following: Have your parameters for