The Mesa Redbirds football team plays in a stadium with a seating capacity of 80,000. However,
during the past season, attendance averaged only 50,000. The average ticket price was $30. If
price elasticity is −4, what price would the team have to charge in order to fill the stadium? If the
price were to be decreased to $27 and the average attendance increased to 60,000, what is the
price elasticity?
1 answer