As the manager of a local hotel chain,you have hired an econometrician to estimate the demand for one of your hotels (H).The estimation has resulted in the following demand function:
Q_H = 2,000 - P_H - 1.5P_C - 2.25P_SE + 0.8P_OH + 0.01M,where P_H is the price of a room at your hotel,P_C is the price of concerts in your area,P_SE is the price of sporting events in your area,P_OH is the average room price at other hotels in your area,and M is the average income in the United States.What would be the impact on your firm of:
a.A $500 increase in income?
b.A $10 reduction in the price charged by other hotels?
c.A $7 increase in the price of tickets to local sporting events?
d.A $5 increase in the price of concert tickets,accompanied by an $8 increase in income?

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The Answer of As the manager of a local hotel chain,you have hired an econometrician to estimate the demand for one of your hotels (H).The estimation has resulted in the following demand function: Q_H = 2,000 - P_H - 1.5P_C - 2.25P_SE + 0.8P_OH + 0.01M,where P_H is the price of a room at your hotel,P_C is the price of concerts in your area,P_SE is the price of sporting events in your area,P_OH is the average room price at other hotels in your area,and M is the average income in the United States.What would be the impact on your firm of: a.A $500 increase in income? b.A $10 reduction in the price charged by other hotels? c.A $7 increase in the price of tickets to local sporting events? d.A $5 increase in the price of concert tickets,accompanied by an $8 increase in income?

As the Manager of a Local Hotel Chain,you Have Hired