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Demand for a book is given by ? = 56−2?. ? is the price in USD....

Demand for a book is given by ? = 56−2?.

? is the price in USD.

? is the demand in millions of copies.

  1. Draw a graph of the demand quantity, where you have ? on the vertical y-axis and ? on the horizontal x-axis.
  1. Calculate the demand elasticity when ? = 14. You must present your answer based on the formula for elasticity.
  1. There is a simpler explanation as to why you got exactly the value you got in the previous assignment. What is the explanation?
  1. How should the figure you obtained in task (b) be interpreted? Explain.
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