Question
thank you
Sort the following scenarios into whether the price elasticity of demand for the good or service is high or low in absolute value. Price Elasticity of Demand would be high Price Elasticity of Demand would be low Melanie makes $24,000 a year as a lab technician. Her apartment complex decides to raise her rent from $400 a month to $675. Jerry is used to using Old Spice as his deodorant of choice. One day the price of Old Spice increases. Jane has lung cancer and must pay for chemotherapy to purge the cancer from her body. Audrey makes $180,000 a year as a CEO. The price of jelly beans, her favorite snack, increases 10 cents a pound. Eric has a 50 inch plasma TV and is considering purchasing a 60 inch 3D TV. The city of Cheyenne, Wyoming decides to increase the price of its water utilities.
Explanation / Answer
in all the cases price elasticity of demand will be low
