Macmillan LearningLauren's salary decreases from $40,000 to $30,000. She decides to reduce the number of outfits she purchases each year from 20to 19. Use the midpoint method to calculate the income elasticity of demand for new outfits. Round your answer to twodecimal places.unitsThis good isa normal good and income-elastic.a normal good and income-inelastic.an inferior good.

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Lauren's salary decreases from $40,000 to $30,000 o 19. Use the midpoint method to calculate the in decimal places.

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter5: Elastic And Its Application

Section: Chapter Questions

Problem 7PA: Suppose that your demand schedule for pizza is as follows: a. Use the midpoint method to calculate...

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Question

Macmillan Learning
Lauren's salary decreases from $40,000 to $30,000. She decides to reduce the number of outfits she purchases each year from 20
to 19. Use the midpoint method to calculate the income elasticity of demand for new outfits. Round your answer to two
decimal places.
units
This good is
a normal good and income-elastic.
a normal good and income-inelastic.
an inferior good.

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