The formula for the arc elasticity of demand can be written as:
A) XY = [ QX /(Q1X + Q2X) ]/[ X/(P1X + P2X) ].
B) XY = [ QX /(Q1Y + Q2Y) ]/[ Y/(P1X + P2X) ].
C) XY = [ QX /(Q1X + Q2X) ]/[ PY/(P1Y + P2Y) ].
D) XY = [ PX /(P1X + P2X) ]/[ QY/(Q1Y + Q2Y) ].
E) none of the above.
Correct Answer:
Verified
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