In September 1993, The Times unilaterally lowered its price … Price Average Daily Sale Pre- 09-93 Post-09-93 pre-09-93 post-09-93 Times 45 30 376836 448962 Guardian 45 45 420154 401705 Telegraph 45 45 1037375 1017326 Independent 50 50 362099 311046 2196464 2179039 Total daily newspaper sales (including a few other newspapers not mentioned in the slide) remained constant at about 2.5 million at both pre and post Sep-93. Compute: Relevant cross-price elasticities of demand for Guardian, Telegraph, and Independent? How do you ensure that the ceteris paribus assumption has been met here, although approximately?

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In September 1993, The Times unilaterally lowered its price …

Price Average Daily Sale

Pre- 09-93  Post-09-93
pre-09-93   post-09-93

Times       45  30  376836  448962

Guardian  45  45  420154  401705

Telegraph  45  45 1037375  1017326

Independent 50  50  362099  311046

2196464     2179039

Total daily newspaper sales (including a few other newspapers not
mentioned in the slide) remained constant at about 2.5 million at both
pre and post Sep-93.

Compute: Relevant cross-price elasticities of demand for Guardian,
Telegraph, and Independent?

How do you ensure that the ceteris paribus assumption has been met
here, although approximately?

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