Refer to the accompanying table to answer the following questions.

-The price of erasers increases from $0.50 to $1.00 per eraser.Using the midpoint method,what is the cross-price elasticity of demand between pencils and erasers?
A) -0.13
B) 7.67
C) -7.67
D) 0.13
E) -3

Question

Refer to the accompanying table to answer the following questions.
 
-The price of erasers increases from $0.50 to $1.00 per eraser.Using the midpoint method,what is the cross-price elasticity of demand between pencils and erasers?
A) -0.13 
B) 7.67 
C) -7.67 
D) 0.13 
E) -3

Quizplus · Accepted Answer

The midpoint method for calculating the cross-price elasticity of demand requires a specific formula and data about the change in quantity demanded for one good in response to a price change in another good. The provided choices seem to contain placeholders or formatting errors (e.g., "F1F1F1S1uf02duf020F1F1F100.13") rather than actual numerical values or formulas, making them incorrect or nonsensical. Without the necessary data on the change in quantity demanded for pencils in response to the price change in erasers, it's impossible to calculate the cross-price elasticity accurately. The correct answer would typically involve applying the midpoint formula to the given data, but since the choices are formatted incorrectly or are placeholders, none provide a meaningful answer.

Refer to the Accompanying Table to Answer the Following Questions