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Question 34 1 pts Economists estimated that the price elasticity of beer is 0.23 and the income elasticity of beer is -0.09.

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Option 3
th e revenue is maximum at unit elastic demand which is at elasticity equal to 1.
the demand elasticity and price are positively related so an increase in price increases elasticity and revenue up to E=1.
the income elasticity is negative so the good is inferior and if it is positive then it is normal

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