Question

Suppose the demand for good X is given by Xdx=20-Px+2Py+M. The price of good X is...

Suppose the demand for good X is given by Xdx=20-Px+2Py+M. The price of good X is $5, the price of good Y is $15, and the income is $150. How much of good X will be purchased? Is good Y a substitute or complement of good X? Is good X a normal good or an inferior good?

0 0
Add a comment Improve this question Transcribed image text
Answer #1

miAho mime X is a normal lbe pnce

Please like my answer

Add a comment
Know the answer?
Add Answer to:
Suppose the demand for good X is given by Xdx=20-Px+2Py+M. The price of good X is...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • The demand for good X is given by QXd = 6,000 - (1/2)PX - PY +...

    The demand for good X is given by QXd = 6,000 - (1/2)PX - PY + 9PZ + (1/10)M Research shows that the prices of related goods are given by Py = $6,500 and Pz = $100, while the average income of individuals consuming this product is M = $70,000. a. Indicate whether goods Y and Z are substitutes or complements for good X. Good Y is:  (Click to select)  a substitute  neither complement nor substitute  a complement  . Good Z is:  (Click to select)  a complement  a...

  • The demand curve is given by: Qdx=500-1.5Px-0.2I-2Py+Pz Where Qdx= quantity demanded of good X Px= Price...

    The demand curve is given by: Qdx=500-1.5Px-0.2I-2Py+Pz Where Qdx= quantity demanded of good X Px= Price of good X I= income (in thosands) Py= Price of good Y Pz= Price of good Z A. Is good X a normal or inferior good? Why? B. What is the relationship between goods X & Y? Why? C. What is the relationship between goods X & Z? Why? D. What is the equation of this demand curve if income is $40,000, the price...

  • Qp-8000-2Px+0.41-2Py+5Pz Where OD quantity demanded of good X Px price of good X Iconsumer income, in...

    Qp-8000-2Px+0.41-2Py+5Pz Where OD quantity demanded of good X Px price of good X Iconsumer income, in thousands Py price of good Y Pz price of good Z a. Based on the demand curve above, is X a normal or an inferior good? b. Based on the demand curve above, what is the relationahip between good X and good Y? c. Based on the demand ourve above, what is the relationship between good X and good Z7 d. What is the...

  • The demand for good X is given by QXd = 6,000 - (1/2)PX - PY +...

    The demand for good X is given by QXd = 6,000 - (1/2)PX - PY + 9PZ + (1/10)M Research shows that the prices of related goods are given by Py = $6,500 and Pz = $100, while the average income of individuals consuming this product is M = $70,000. a. Indicate whether goods Y and Z are substitutes or complements for good X b. Is X an inferior or a normal good? c. How many units of good X...

  • Qd=680-9Px-6I+4Py where Qd=quantity of good X demanded, Px=price of good X, I=Income, and Py=price of related...

    Qd=680-9Px-6I+4Py where Qd=quantity of good X demanded, Px=price of good X, I=Income, and Py=price of related good Y. From the demand function, it is apparent that good X is: I. a normal good II. an inferior good III. a substitute for good Y IV. a complement with good Y a. II only b. both I and III c. both I and IV d. both II and III e. both II and IV

  • 4. Given the demand function Q=98.6-2.3P+3.1P,-2.1Y where Q, is the quantity demanded, Px is the price...

    4. Given the demand function Q=98.6-2.3P+3.1P,-2.1Y where Q, is the quantity demanded, Px is the price of the good itself in dollars, P is the price of a related good in dollars, and Y is average income (measured in thousands). If P $23, Ps $29, Y = $36, compute the value for Q C 1 point Using the information in part a, compute the cross-price elasticity (Eo) and determine if Py is describing a substitute or complement (round to 2...

  • The demand for your product X has been estimated to be Qx = 7, 880 −...

    The demand for your product X has been estimated to be Qx = 7, 880 − 4Px − 2Py + Pz − 0.1M where Y and Z are other (related) products. The relevant price and income data are as follows: Px = 10, Py = 15, Pz = 50, M = 40, 000 (Please show work and answers to questions a-e) a. Which goods are substitutes for X? Which are complements? b. Is X an inferior or a normal good?...

  • 1) Suppose that the demand is given by the equation: Qd = 200 - 2P. if...

    1) Suppose that the demand is given by the equation: Qd = 200 - 2P. if the market price is 20, what is the consumer surplus? A) 8,100 B) 6,400 C) 81,000 D) 64,000 2) Suppose that the demand for good Y is given by the equation: Qdy = 40- 2Py + Px, where Px is the price of good X and Py is the price of good Y. If Py is $16, and Px is $8 , what is...

  • D 6. Suppose that the demand for good Y is given by the equation: Qdy =...

    D 6. Suppose that the demand for good Y is given by the equation: Qdy = 40- 2Py + Px, where Px is the price of good X and Py is the price of good Y. If Py is $16, and Px is $8, what is the consumer surplus in market Y? $128 $8 $64 $16

  • Suppose Qxd = 10,000 - 2 Px + 3 Py - 4.5M, where Px = $100,...

    Suppose Qxd = 10,000 - 2 Px + 3 Py - 4.5M, where Px = $100, Py = $50, and M = $2,000. (Note that Qdx is the quantity demanded of Good X, Px is the price of Good X, Py is the price of another product called Good Y, and M stands for income available.) Use this information to answer the following three parts of question 6. a. For this demand equation, what is the P intercept? b. For...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT