Using the midpoints of price and quantity to compute percentage changes between points a and b
A) gives the most accurate measure of elasticity.
B) measures the average elasticity between points a and b.
C) measures the marginal elasticity between points a and b.
D) measures the change in total revenue.

Question

Quizplus · Accepted Answer

Using the midpoints to compute percentage changes between two points measures the average elasticity between those points, providing a more balanced view of elasticity over the range.

Using the Midpoints of Price and Quantity to Compute Percentage