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    Log regression for calculating elasticity

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    Use the dataset Laptop Prices to answer this question. The data has a list of Installed Memory, Hard Drive Size, Display Size, Weight and Price of laptops on certain selected days between November 2006 and January 2007.
    a. Regress Log Price on Log Installed Memory, Log Hard Drive Size, Log Display Size and Log Weight and Dummies for Brand (Sony, HP, etc. ). You can ignore the effect of the retailer for this question.
    b. What is the elasticity of Price with respect to Installed Memory?
    c. What is the elasticity of Price with respect to Hard Drive Size?
    d. What is the elasticity of Price with respect to Display Size?
    e. What is the elasticity of Price with respect to Weight?
    f. Suppose the Hard Drive capacity of a laptop changes from 120 GB to 160GB. If the laptop was previously priced at $1200, what will be the new price of the laptop?

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    The expert examines log regression for calculating elasticity.

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