Elasticity for Calculus

Question

For a particular commodity, the demand function is q=110,000/p....Find the elasticity when p=8

Answer 1

demand curve is q=110K/p where q = quantity demanded, p=price, K = 1,000

price elasticity = dq/dp x p/q = pdq/qdp = -110K/p^2 x p/q = -110K/64 x 8/100K/8= -1

= unit elastic when price = 8

usually the negative sign is dropped or understood, so just the absolute value = 1 = the elasticity

the demand curve is the top right branch of a hyperbola