The figure to the right illustrates the demand for taxi rides in a large city. Suppose the price per ride is initially $45 but then falls to $15 due to recession. What is the price elasticity of demand for taxi rides? Using mid point formula the price elasticity of demand is

des ? 60 two 55- 50- A 45- 40 Price (dollars per taxi ride) B 10- 5- D 40,000 80,000 120,000 160,000 200,000 240,000 Quantity (taxi rides per day)