Exercise 3 This exercise is designed to help reinforce the student's understanding of the topic of elasticity. This exercise can be used in conjunction with any economics tea-ctbook that addresses this topic. NCITE: As you are working through each scenario in this exercise make sure that you label all parts of your diagrams to avoid mistakes. This exercise should be done using a ruler if necessary, so that your lines are accurate and pencil and eraser so that you can make changes if you make a mistake. Do not use pen! I.IJ E - E 9 Using a Slope equal to 1; s 1. Calculate the 96 change in price. If 2. Calculate the 96 change in quantity. 3. Calculate the '36 elasticity of s demand. 4. Show the translations of different 5 values of elasticity. 5. Plot the elasticity numbers. 4 Note the elasticity numbers as you move down the demand cu rye and show where 3 it is Perfectly Elastic and Perfectly 2 Inelastic. 1 1 2 s 4 s s 1' s s {IlljillilllTl'FlIr P Q_ asap ssoo Eo 1|] } 9 I] ) 1 5f: 95 9}3 1)2 '36 9-5