In rose beds, money blooms
On Valentine's Day, Americans bought 257 million roses at about double the normal price. On a normal day, 3 million roses are sold.
What is the magnitude of the elasticity that you can estimate using the information provided?
If we assume that, by using the midpoint method, the percentage change in the price is 100 percent, then the
A. price elasticity of demand is 1.95
B. price elasticity of demand is 0.5
C. price elasticity of supply is 0.5
D. price elasticity of supply is 1.95