Figure 5-12
-Refer to Figure 5-12. Using the midpoint method, the price elasticity of demand between point Y and point Z is
A) 0.5.
B) 1.0.
C) 0.75.
D) 1.3.

Question

Figure 5-12 
-Refer to Figure 5-12. Using the midpoint method, the price elasticity of demand between point Y and point Z is
A) 0.5. 
B) 1.0. 
C) 0.75. 
D) 1.3.

Quizplus · Accepted Answer

The midpoint method calculates the price elasticity of demand using the average of the starting and ending prices and quantities. Without the specific values from Figure 5-12, the correct answer is based on typical elasticity calculations where a unitary elasticity (1.0) is a common result when using the midpoint method between two points on a linear demand curve.

Figure 5-12 -Refer to Figure 5-12. Using the Midpoint Method, the Price