JohnnyDuey
Point elasticity…I don’t understand the derivative part…
OK, If I have Q = 100 – p^2
Assuming p1 = 5, then Q = 75, my book says that the point elasticity is equal to:
-2P X 5/75, but what I don’t understand is where the -2P came from. Can someone make this clear in a step
By step way?
1 Answer
lindilou
Try this excellent explanation>>>http://www.masterit.ie/elasticity/point.htm
| 13 years ago. Rating: 1 | |
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