For each of the following pair of goods, which good will you expect to have more elastic demand and why? i) Train rides during the next six month or subway rides within the next five years. ii) Club beer or water iii) Buying a mercedes or buying salt iv) Food or potatoes

For each of the following pair of goods, which good will you expect to have more elastic demand and why? i) Train rides during the next six month or subway rides within the next five years. ii) Club beer or water iii) Buying a mercedes or buying salt iv) Food or potatoes

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter5: Elastic And Its Application

Section: Chapter Questions

Problem 1PA

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For each of the following pair of goods, which good will you expect to have more elastic demand and why?

i) Train rides during the next six month or subway rides within the next five years.

ii) Club beer or water

iii) Buying a mercedes or buying salt

iv) Food or potatoes

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