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What's elasticity?
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http://www.google.com/#q=elasticity+economics
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The demand function for a certain item is x = 35(sqrt(32-p^2))
---Evaluate the elasticity at 5. E(5)= I don't know how to find
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1.calculate the price elasticity of demand when the price was increased from R25 to R40 ? (10)
2.is a price increase the correct
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The %increase in price= (7-5)/5x100= 40%
The %decrease in quantity=(25-15)/25 x 100= 40% Elasticity=40/40=1,unit elasticity.
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