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Using the Midpoint Method for Calculating the Price Elasticity of Demand

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Using the midpoint method for calculating the price elasticity of demand, you get the same elasticity of demand between two points, whether you are moving up the demand curve or down it.


Definitions:

Hormones

Chemical messengers produced by glands in the body that regulate various physiological processes, including growth, metabolism, and reproduction.

Regulation

A rule or directive made and maintained by an authority to regulate behavior, usually in the context of legal, professional, or institutional settings.

Specific Gravity

The weight or degree of concentration of a substance compared with that of an equal volume of another, such as distilled water, taken as a standard.

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