A number of the growers are concerned about the price decrease initiated by the stretch of favorable weather conditions, as they believe it will lead to decreased revenue. Using elasticities, you will be able to determine whether this price change will lead to a rise or fall in total revenue in this market.

Using the midpoint method, the price elasticity of demand for almonds between the price levels of $15 and $9 per ton is0.67, meaning that between these two points, demand is inelastic. Thus, you can conclude that the grower's claim is correct, because total revenue will decrease due to the favorable weather conditions.

Confirm your previous conclusion by calculating total revenue in the almond market before and after the favorable weather conditions. Enter these values in the following table. Before Favorable Weather Conditions Total Revenue (Thousands of Dollars) After Favorable Weather Conditions Total Revenue (Thousands of Dollars)