Question
What is the formula for elasticity E
Answers
Answered by
GPT 3.5
The formula for elasticity (E) is:
E = (ΔQ/Q) / (ΔP/P)
Where:
- E = Elasticity
- ΔQ = Change in quantity
- Q = Initial quantity
- ΔP = Change in price
- P = Initial price
This formula measures the percentage change in quantity demanded in response to a percentage change in price.
E = (ΔQ/Q) / (ΔP/P)
Where:
- E = Elasticity
- ΔQ = Change in quantity
- Q = Initial quantity
- ΔP = Change in price
- P = Initial price
This formula measures the percentage change in quantity demanded in response to a percentage change in price.