1. Estimate an empirical demand function for one-month memberships 2.Interpret the estimated demand function for one-month memberships 3. Calculate the point price elasticity of demand and point income elasticity of demand 4. Determine whether the price charged last year was above, below or equal to the profit-maximizing price. 5. determine the appropriate price for the one-month memberships. 6. Write a short report summarizing the results of the analysis and any recommendations.
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