Problem Set 3. Use the Formula for Elasticity in Slide 7 of the Lecture #Sb: Q1-Qo Ql_00 Percent Change (Midpoint Method) in Quantity Demanded _ 100'(Q0+Q1)f2 _ (90+Q13/2 Percent Change (Midpoint Method) in Price mo _ P1_PD (Po+P1)/3 (P0+P1)/2 Show your work in a single Word le, pdf, or Excel le. If it is a Word or pdf le it may contain easily readable scanned images inserted into the document as an option. If it is an Excel le it should show the formulas that you used. Report all elasticities to three decimal places, e.g., 1.234. Remember, before measuring elasticities, you rst need to have four numbers: the price and quantity (demanded or supplied, depending on the problem) before the change, and the price and quantity m the change. Remember also to calculate the midpoint estimate of elasticity used generally in economics. 1. The equation for a demand curve is P = 48 3Q. What is the elasticity in moving from a quantity of 4 to a quantity of 5'? (2 points) 2. The equation for a demand curve is P = 2iQ +1. What is the elasticity of demand as price moves from 5 to 6? (2 points) 1What is the elasticity of demand as the price falls from 8 to 7'? (1 point) 3. The equation for a supply curve is P = Qi4 +1. What is the elasticity of supply as price rises 'om 4 to 5'? (2 points) What is the elasticity of supply as the price rises from 8 to 9'? (1 point) 4. The equation for a supply curve is P = 3Q 8. What is the elasticity of supply in moving from a price of 5 to a price of 6? (2 points)