GIVEN THE FUNCTION F(X) =3X + 5 AND X SUCH THAT F(X)=38
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We are asked to simplify the expression .
- Combine like terms! :)
That's exactly what we need to do - combine like terms.
So, we subtract:
Which gives us:
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Answer:
eY is positive +0.1 therefore bagels are a normal good.
Step-by-step explanation:
Given data:
when, 10% rise in cheese price, 3% fall in bagels quantity observed
when, 10% rise in income, 1% fall in bagels quantity observed
from formula for cross price elasticity of demand, determine
As, eAB is negative, bagels $ cream cheese are complements.
By formula for income elasticity of demand,
we find that
Since eYis positive, bagels are a normal good.