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4702- econ

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Subject: Price Elasticity
Details: I am looking for some direction working on the following spreadsheet on price elasticity with in an airline enviornment. The details are in the project attachments

© BrainMass Inc. brainmass.com March 21, 2019, 10:38 am ad1c9bdddf
https://brainmass.com/economics/elasticity/4702-econ-20116

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1. It's quite helpful that the demand curve is already given by:
<br>Price = 1250 - 8 * Quantity
<br>which can be written into:
<br>Quantity = 1250/8 - 1/8 Price = 156.25 - 0.125 P
<br>So dQ/dP = - 0.125
<br>And ...

$2.19