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The equation for a demand curve is P = 2/Q. What is the elasticity of demand as price falls from 5 to 4? What is the elasticity of demand as the price falls from 9 to 8? Would you expect these answers to be the same?

$-1.25$$-1.18$

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all right. Where do you number 34 from Chapter five? It is asking us just one second. It is asking us The equation for a demand curves P equals two over. Q. What is the USS Steve? Demands? Price price follows from 5 to 4. What is it you elasticity of? Demand is price falls from 98 when you expect these answers to be the same. So I've gone ahead and written out these two scenarios. Here is the first. Here's the second. I made a handy little chart and I actually went ahead and plugged in five and four to solve for Q and nine and eight softer. Q. It's pretty straightforward. You just plug price and for P and salt for to you, um, you should end up with this this year. Um, anyway, so what's calculate the USS City of both scenarios? Shall we, uh, must remember that that is percent change. Q. Over percent change P. So for the 1st 1 R Q is going from point for 2.50 point one over zero point for five because we're averaging these two, uh, which equals I don't mind about that point by uh, zero point. Rather, let's we're gonna get percent or 22.2%. Um, now for the second part, for a percent change price prices going from five to force as a change of one over. You guessed it. 4.5. Same thing. 22.2% notice. It's just a change in scale of one. Right. We're going from 10.1 toe, 1.45 to 4.5. Uh, and so are two percentages. We're dividing each other, and we're getting one. So this isn't us to see of one. Let's do it for the second part, shall we? Eso quantities going from 0.22222 to, uh, is your 0.25 So that's gonna be a change of about 0.2777 and, you know, goes on forever. Will cut it off after three sevens over 0.23 eyes and we get 11.8. Sorry. 100 and 18%. Wolf said Mr by eight. Place of one. Um oh, no, no, no. Sorry. Yeah, I got it right the first time. This is supposed to be 0.277 Yep. Um went 0 to 777 11.8%. Um, and now we're doing price, which is going from 9 to 8. So that's a change of one over. Since you're here, one over 8.5 equals 11.8%. Look at that. Of course, these 2% gonna divide each other so 11 20% over. Let's do it like it's 11.8% over 11.8% to find the elasticity equals one. So both the Aussies are the same. Would we expect this? Well, yeah, of course you would cause it's the same curve it is. A constant P equals to over Q. Which means it is a constant, downward sloping domain, which means that

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