Question

I assume that the price of a car is constant and that 30 cars are sold per month in a small town. On the other hand, the price of gasoline rises from 15 to 20 pesos per liter, there is no other factor that influences the purchase plans and the number of cars sold drops to 28 per month. a) What is the cross elasticity of demand for cars with respect to gasoline? b) According to the previous section, are cars considered a substitute or complementary good for gasoline?

52

likes
259 views

Answer to a math question I assume that the price of a car is constant and that 30 cars are sold per month in a small town. On the other hand, the price of gasoline rises from 15 to 20 pesos per liter, there is no other factor that influences the purchase plans and the number of cars sold drops to 28 per month. a) What is the cross elasticity of demand for cars with respect to gasoline? b) According to the previous section, are cars considered a substitute or complementary good for gasoline?

Expert avatar
Miles
4.9
114 Answers
Necesitamos encontrar la elasticidad cruzada de la demanda de los autos con respecto a la gasolina. La fórmula para la elasticidad cruzada es:

E_{A,G} = \frac{\Delta Q_A / Q_{A\text{original}}}{\Delta P_G / P_{G\text{original}}}

Donde:
- \Delta Q_A es el cambio en la cantidad demandada de autos.
- Q_{A\text{original}} es la cantidad original demandada de autos.
- \Delta P_G es el cambio en el precio de la gasolina.
- P_{G\text{original}} es el precio original de la gasolina.

Primero, calculamos los cambios:

\Delta Q_A = 28 - 30 = -2
Q_{A\text{original}} = 30
\Delta P_G = 20 - 15 = 5
P_{G\text{original}} = 15

Ahora, sustituimos en la fórmula de elasticidad cruzada:

E_{A,G} = \frac{(\frac{-2}{30})}{(\frac{5}{15})}

E_{A,G} = \frac{-\frac{2}{30}}{\frac{5}{15}}

E_{A,G} = \frac{-\frac{2}{30}}{\frac{1}{3}}

E_{A,G} = -\frac{2}{30} \times \frac{3}{1}

E_{A,G} = -\frac{6}{30}

E_{A,G} = -\frac{1}{5}

Los autos y la gasolina se consideran bienes complementarios porque la elasticidad cruzada es negativa.

El resultado final en formato simplificado es:
a) E_{A,G} = -\frac{1}{7}

b) Complementario

Frequently asked questions (FAQs)
What is the standard deviation of a dataset with values {10, 12, 14, 16, 18}?
+
What is the area of a triangle with a base measuring 10 inches and a height measuring 6 inches?
+
Question: "Graph the logarithmic function f(x) = log(base 2)(x) on the coordinate plane. Identify the coordinates of the x-intercept and the y-intercept if any.
+
New questions in Mathematics
find the value of the tangent if it is known that the cos@= 1 2 and the sine is negative. must perform procedures.
reduction method 2x-y=13 x+y=-1
Y=-x^2-8x-15 X=-7
what is 9% of 307
58+861-87
A juice shop prepares assorted juices, for their juices they have 5 different types of fruit. How many types of assortments can be prepared in total, if it is considered an assortment to a juice made with two or more fruits?
what is the annual rate on ​$525 at 0.046​% per day for 3 months?
A bird randomly chooses to land on 1 of 12 perches available in its aviary. Determine the Probability of it landing on a perch numbered 8 and then on a perch marked with a prime number; take into account that he never lands on the same perch in the sequence.
The equation of the circle that passes through (5,3) and is tangent to the abscissa axis at x=2 is a.(x-2)^2 (y 3)^2 = 9 b.(x-2)^2 (y-3)^2 = 9 c.(x-2)^2 (y-3)^2 = 4 d.(x-2)^2 (y 1)^2 = 4 e.(x-2)^2 (y-1)^2 = 4
7/6-(-1/9)
A National Solidarity Bond offers A 5 year bond offering a gross return of 15% Calculate the AER for this investment. (Give your answer to two decimal places, no need for the percent or € sign in your answer)
How long will it take for $900 to become $5000 at an annual rate of 11.15% compounded bimonthly?
A force of 750 pounds compresses a spring 3 inches from its natural length, which is 15 inches. What will be the work done to compress it 3 inches more?
Find all real numbers x that satisfy the equation \sqrt{x^2-2}=\sqrt{3-x}
John he’s going to the carnival with his friends. He spends $25 on an admission ticket. He buys 10 games at X dollars each and two boxes of popcorn at Y dollars each. Write an expression to show the total cost of admission game, tickets and popcorn.
In an audience of 4000 people, 2 people are chosen, at random, to appear on stage. How many ways can the people be chosen?
Buffalo Company makes and sells shampoo. Each unit requires $1.40 labor costs, material costs per unit are $0.90 and other variable costs are $0.30. It sells shampoo for $4.45 to retailers. Fixed costs are $15,000. It sold 25,000 units in the current month. What is the Break-Even point in units? What is the Break-Even point in dollars? What is the contribution margin of Buffalo Company?
Find the number of pounds of nails required for 17850 square feet of drywall if each thousand square feet requires 4.5 pounds of nails.
Let x be an integer. Prove that x^2 is even if and only if is divisible by 4.
Find I (Intrest) using simple interest formula of 17700 @ 15% for 4 years