What Is the Midpoint Formula for Elasticity?

The midpoint formula for elasticity is the percentage change in quantity demanded divided by the percentage change in price. The equation may be complex for some because of all the different numbers involved, but the process is relatively straightforward as long as each step is broken down.

Calculating the elasticity of a product is vital to determining how a quantity or price change affects the other value. The percentage change in quantity demanded can be calculated by adding the old and new quantities and dividing the figure by two. The percentage change in price is found in the same manner, except the old and new prices are used.

World View

A History of Congressional Recesses and Why Congress Gets a Break

History

Mythic Months: Why Is August Named After Augustus Caesar?

World View

How Do You Make Calls Online?

Science

10 Websites That Foster Curiosity Through Interactive Learning

History

Why Was the Battle of Gettysburg a Turning Point in the U.S. Civil War?

World View

Phil Mickelson is the Face of Saudi Arabia’s New Golf Tour