Which of the Following Formulas Calculates Price Elasticity of Demand

question 100

Multiple Choice

Which of the following formulas calculates price elasticity of demand?

• A) (1 + % change in quantity sold) / (1 + % change in price)
• B) % change in quantity sold / % change in price
• C) ln (1 + % change in quantity sold) / ln (1 + % change in price)
• D) ln (1 - % change in quantity sold) / ln (1 - % change in price)

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