1.2 How markets work

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Question 6

In response to municipal water-use restrictions, a boutique plant nursery raised the price of its drought-tolerant agave specimens by 7.5%. Following this price change, the weekly quantity of agave specimens sold fell by 6%.

With reference to the data provided, calculate the price elasticity of demand for these agave specimens. You are advised to show your working.

[2]

1.2 How markets work

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Question 6

In response to municipal water-use restrictions, a boutique plant nursery raised the price of its drought-tolerant agave specimens by 7.5%. Following this price change, the weekly quantity of agave specimens sold fell by 6%.

With reference to the data provided, calculate the price elasticity of demand for these agave specimens. You are advised to show your working.

[2]

1.2 How markets work

Question 6

1.2 How markets work Questions

1.2 How markets work

Question 6

1.2 How markets work Questions