Problem
The price elasticity of demand for a textbook sold in the United States is estimated to be -2.0, whereas the price elasticity of demand for books sold overseas is - 3.0. The U.S. market requires hardcover books with a marginal cost of $7; the overseas market is normally served with soft cover texts, having a marginal cost of only $5. Calculate the profit-maximizing price in each market.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.