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LenaWriter [7]
3 years ago
7

Ghose and Han​ (2014) found that the elasticity of demand for Google Play apps is negative 3.7. This elasticity applies to a sma

ll college town where approximately​ 1,000 apps per month are sold. If price rises by 8​%, what would be the effect on quantity​ demanded?
Business
1 answer:
IrinaK [193]3 years ago
5 0

Answer:

- 29.6%

Explanation:

Data provided in the question:

The elasticity of demand for Google Play apps = -3.7

Number of apps sold per month = 1,000

Percentage increase in the price = 8%

Now,

Elasticity of demand = [ % change in quantity ] ÷ [ %change in price ]

thus,

-3.7 =  [ % change in quantity ] ÷ 8%

or

% change in quantity  = -3.7 × 8%

or

% change in quantity  = - 29.6%

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3 years ago
Outline 2 reasons for completing assigned tasks daily​
Lemur [1.5K]

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2 years ago
Tony, a production manager at Brighton Biometrics, needs to measure the performance of 10 subordinates. He writes their names on
prisoha [69]

Answer:

Alternation ranking method.

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6 0
3 years ago
Richard likes to smoke tobacco from a pipe. However, he is very particular about which pipes he uses. He will only buy pipes mad
katovenus [111]

The type of consumer product that this represent is: Specialty product.

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8 0
2 years ago
The nominal exchange rate is .80 euros per dollar and the real exchange rate is 4/3. Which of the following prices for a particu
Svetach [21]

Answer:

option (C) $5 in the U.S. and 3 euros in Italy

Explanation:

Data provided in the question:

Nominal exchange rate, E = 0.80 euros per dollar

Real exchange rate = \frac{4}{3}

Now,

Real exchange rate = [ Price of good in US ] ÷ [ Price of Good in Italy ]

= \frac{EPU}{PI}

Here,

PU = Price of US in dollars

PI = Price of Italy in Euros

Thus,

Real exchange in rate

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or

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hence,

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Ratio of Price of a good in US to Price of a Good in Italy = \frac{5}{3}

or

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3 years ago
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