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5P
Qd P
5 0
4.5 1
4 2
3.5 3
0 10
Demand Curve
12
10
P
R 8
I
6
C
E 4
0
0 1 2 3 4 5 6
QUANTITY DEMANDED
B. Unitary Elastic
e
Q,P = -1
𝑄𝑃 𝑃
e
Q,P = = -b
𝑃𝑄 𝑄
𝑃
e
Q,P = -0.5
5−0.5(𝑃)
𝑃
(-1/0.5)-1 = -0.5 (- 1/0.5)
5−0.5(𝑃)
𝑃
(5-0.5P) 2 = (5-0.5P)
5−0.5(𝑃)
10-P = P
10 = 2P
5 =P
𝑄𝑃 𝑃
e
Q,P = = -b
𝑃𝑄 𝑄
𝑃
e
Q,P = -0.5
5−0.5(𝑃)
5
e
Q,P = -0.5
5−0.5(5)
5
e
Q,P = -0.5
2.5
e
Q,P = -0.5(2)
e
Q,P = -1
2.
Given = 300-100P
a.
P 0.1 0.45 0.5 0.55 2.5
Qd 290 255 250 245 50
eQ,P -0.034482758 -0.176470588 -0.2 -0.224489795 -5
When P=0.1, Qd = 300-100P, Qd = 300-100(0.1), Qd=300-10, Qd = 290
𝑄𝑃 𝑃
e
Q,P = = -b
𝑃𝑄 𝑄
0.1
e
Q,P = -100
290
e
Q,P = -0.034482758
𝑄𝑃 𝑃
e
Q,P = = -b
𝑃𝑄 𝑄
0
e
Q,P = -100
300
e
Q,P = 0
When P=1.5, Qd = 300-100P, Qd = 300-100(1.5), Qd=300-150, Qd = 150
𝑄𝑃 𝑃
e
Q,P = = -b
𝑃𝑄 𝑄
1.5
e
Q,P = -100
150
e
Q,P = -1
2.5
2
Price
1.5
0.5
0
0 50 100 150 200 250 300 350
Quantity Demanded
AWATA NI NA FORMAT DAII PARA CHOURR CHOURR,
Except aning mga a/2b, a/b. a/2, a
D.
Basing on the graph, At a price greater than 0 but
less than 1.5, Resulted to eQ,P whose value is between 0
and -1, the demand will be inelastic, meaning
quantity demanded is relatively insensitive to the
price
E
Basing on the graph, At a price greater than 1.5 but
less than 3 , Resulted to eQ,P whose value is between -1 and
negative infinity, the demand will be elastic, meaning
quantity demanded is relatively sensitive to the price