- They estimated an own-price elasticity of demand of -0.44 and an income elasticity of 1.20. A later study by Hight (1970) broke the results down by private and public institutions, finding own-price elasticities of -1.058 for publics and -0.6414 for privates and income elasticities of 0.977 for publics and 1.701 for privates.
- After completing this worksheet, students will be able to: 1. Calculate percent change using the midpoint method and use the percent change in price and quantity demanded to calculate the measure of the price elasticity of demand along a demand curve. 2. Discriminate between products characterized
- Cross elasticity coefficient positive = items substitute for each other Cross elasticity coefficient negative = items complement each other Income elasticity of demand: % ∆ quantity % ∆ income Income elasticity coefficient positive = normal good Income elasticity coefficient negative = inferior good

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