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When Frank's Income Rises from $29,000 to $34,000 Per Year

Question 11

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When Frank's income rises from $29,000 to $34,000 per year, he increases his purchases of tomatoes from 20 pounds to 28 pounds per year. What is Frank's income elasticity of demand for tomatoes? (Use the midpoint formula.) According to Frank, are tomatoes an inferior or normal good?

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Percentage change in quantity demanded =...

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