Pasty's Specialty Bakery projects the following demand for Patsy's pies:
Price Quantity
9 ....... 130
10 ........ 110
11 ........ 95
We use midpoint formula
a. Calculate the price elasticity of demand between $9 and $10. Is demand in this range elastic or inelastic?
b. Calculate the price elasticity of demand between $10 and $11. Is demand in this range elastic or inelastic? Show your work in details.