Answer to Question #72920 in Economics for Fantella Coleman

Question

. Assume that the demand for a product X is:
Qdx = 4,500 – 0.5Px + Py – 6Pz + 0.05M,
where Px is unit price of product X,
Py is unit price of product Y,
Pz is unit price of product 1Z, and
M is average income of consumers of product X.

Answer 1

Demand for a product X is: Qdx = 4,500 – 0.5Px + Py – 6Pz + 0.05M
Px = (-Qdx + 4,500 + Py – 6Pz + 0.05M)/0.5
Py = Qdx - 4,500 + 0.5Px + 6Pz - 0.05M
Pz = (-Qdx + 4,500 + Py – 0.5Px + 0.05M)/6
M = (Qdx - 4,500 + 0.5Px + 6Pz - Py)/ 0.05