How is the price-change formula to predict the change in the equilibrium price resulting from a change in demand calculated?

A. by dividing the percentage change in price by the sum of the price elasticities of supply and demand
B. by dividing the percentage change in demand by the sum of the price elasticities of supply and demand
C. by dividing the percentage change in supply by the sum of the price elasticities of supply and demand
D. by dividing the percentage change in income by the sum of the price elasticities of supply and demand


Answer: B

Economics

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