d. Using the starting point formula, what is the price elasticity of demand for going from a price of $80 per unit to a price of $60 per unit? e. Using the starting point formula, what is the price elasticity of demand for going from a price of $60 per unit to a price of $80 per unit? f. Using the midpoint formula, what is the midpoint price elasticity of demand for GPS units between a price of $60 per unit and a price of $80 per unit?
d. Using the starting point formula, what is the price elasticity of demand for going from a price of $80 per unit to a price of $60 per unit? e. Using the starting point formula, what is the price elasticity of demand for going from a price of $60 per unit to a price of $80 per unit? f. Using the midpoint formula, what is the midpoint price elasticity of demand for GPS units between a price of $60 per unit and a price of $80 per unit?
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Transcribed Image Text:18
Instructions: Round your answers to two decimal places. If you are entering a negative number include a minus sign.
a. Using the starting point formula, what is the price elasticity of demand for going from a price of $140 per unit to a price of $120 per
unit?
-2.33
b. Using the starting point formula, what is the price elasticity of demand for going from a price of $120 per unit to a price of $140 per
unit?
-1.5
c. Using the midpoint formula, what is the midpoint price elasticity of demand for GPS units between a price of $140 per unit and a
price of $120 per unit?
1.85
d. Using the starting point formula, what is the price elasticity of demand for going from a price of $80 per unit to a price of $60 per
unit?
e. Using the starting point formula, what is the price elasticity of demand for going from a price of $60 per unit to a price of $80 per
unit?
f. Using the midpoint formula, what is the midpoint price elasticity of demand for GPS units between a price of $60 per unit and a price
of $80 per unit?
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Transcribed Image Text:The figure below represents the weekly demand for GPS units.
Price (dollars)
220
200-
180-
160
140
120
100-
80
60
40
20
0
Demand for GPS Units
40 80 120 160 200 240 280 320 360 400 440
Quantity (GPS units)
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