Question

Suppose when the price of pineapples goes from $5 to $3 per pineapple, production decreases from 3,500 pineapples to 2,000 pineapples per year. Using the mid-point method, what is the percentage change in price? A. -40 percent B. -33 percent C. -0.5 percent D. -50 percent

          Suppose when the price of pineapples goes from $5 to $3 per pineapple, production decreases from 3,500 pineapples to 2,000 pineapples per year. Using the mid-point method, what is the percentage change in price?
A. -40 percent
B. -33 percent
C. -0.5 percent
D. -50 percent

Suppose when the price of pineapples goes from 5 to3 per pineapple, production decreases from 3,500 pineapples to 2,000 pineapples per year. Using the mid-point method, what is the percentage change in price?
A. -40 percent
B. -33 percent
C. -0.5 percent
D. -50 percent

Added by Mireia S.

Principles of Economics

Gregory Mankiw 8th Edition

Instant Answer

Solved by Expert Sheryl Ezze

08/26/2024

Step 1

The formula for the mid-point method is: $$Percentage Change = \frac{Value_2 - Value_1}{\frac{Value_2 + Value_1}{2}} \times 100$$ In this case, the variable is the price of pineapples. The initial price is $5 and the final price is $3. Show more…

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Suppose when the price of pineapples goes from $5 to $3 per pineapple, production decreases from 3,500 pineapples to 2,000 pineapples per year. Using the mid-point method, what is the percentage change in price? A. -40 percent B. -33 percent C. -0.5 percent D. -50 percent