The market demand for wheat is Q = 100 - 2p + 1p_b,where p_b is the price of barley.If the price of wheat is $2 and the price of barley is $4,the price elasticity of demand

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The price elasticity of demand is calculated as the percentage change in quantity demanded divided by the percentage change in price. Given the demand function Q = 100 - 2p + 1p_b (where p is the price of wheat and p_b is the price of barley), the derivative of Q with respect to p (the price of wheat) is -2. At a price of wheat ($2) and barley ($4), Q = 100 - 2(2) + 1(4) = 100. The price elasticity of demand at p = $2 is (-2) * (2/100) = -4/100.

The Market Demand for Wheat Is Q = 100 -