managerial economics


an judge of the call-for administration for conversant wares executed the subjoined results: F= 0.0036Y1.08RR0.16p-0.48 r(2)=0.996 where F= wares expenditures per conversant Y = disposible singular proceeds per conversant R = compute of individual residential composition per conversant P = bearing of the wares value refutation to the consumer value refutation a. particularize the top value and proceeds elasticities for conversant wares. b. what solution would you concede to the interpreter for R? Why do you presume R was middle in the equation as a capricious? c. If you were a supplier to the wares manufacturer, would you feel preferred to see the segregation effected in natural sales units rather than dollars of wealth? How would this exexchange diversify the solution of the value coefficient, presently judged as -0.48?