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When a Family Had a Monthly Income of 2,000 Dollars,they

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Essay

When a family had a monthly income of 2,000 dollars,they usually ate out 8 times a month.Now that the family makes 5,500 dollars a month,they eat out 10 times a month.Compute the family's income elasticity of demand using the midpoint method.Explain your answer.Is a restaurant meal a normal or inferior good to the couple?


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