Law of Demand 2

Suppose that your demand schedule for pizza is as follows:

PriceQuantity of Pizzas DemandedQuantity of Pizzas Demanded(Dollars)(Income = $20,000)(Income = $24,000)8405010324512243014162016812

Using the midpoint method, your price elasticity of demand as the price of pizzas increases from $10 to $12 is if your income is $20,000 and if your income is $24,000.

If the price of a pizza is $12, your income elasticity of demand is as your income increases from $20,000 to $24,000. However, if the price of a pizza is $16, your income elasticity is .