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PRICE ELASTICITY OF DEMAND % change in Q demand % change in price PERCENTAGE CHANGE new number-old number X 100 average Revenue Price X Quantity

PRICE ELASTICITY OF DEMAND

% change in Q demand % change in price

PERCENTAGE CHANGE

new number-old number X 100

average

Revenue

Price X Quantity

Use the formula above to calculate values of price elasticity of demand for all the situations below. Make sure to show your calculations.

Price

Quantity

% change in quantity demanded

% change in price

Elasticity of Demand

Revenue

Initial

New

Initial

New

Initial

New

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