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3) For a certain good we have  q = f ( p ) = 200 e −...

3) For a certain good we have  q = f ( p ) = 200 e − 0.4 p.

a) Find the elasticity of demand at price p = $50.

b) At p = $50, is the demand elastic, inelastic, or does it have unit elasticity? Explain what this means for this product.

c) Find the elasticity of demand at price p = $20.

d) At p = $20, is the demand elastic, inelastic, or does it have unit elasticity? Explain what this means for this product.

Math   Calculus   
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