Answer to Question #34894 in Microeconomics for Carol

Question

When the price of Coke is $5.00 for one six-pack of bottles, I buy one (1) pack per week. When the price of Coke is $2.50 per pack, I buy three (3) packs per week.

What does the coefficient tell us about the price elasticity of demand for Coke?
2. The number of cases of Dorito Chips sold by Walmart increases from 250 to 550 cases per week when they reduce the price from $8 to $4.

What does the coefficient tell us about the price elasticity of demand for Dorito Chips?