Microeconomics
Price Elasticity of Demand Calculator
Calculate arc price elasticity and classify demand as elastic or inelastic.
Runs locally
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Price elasticity-1.22
Elastic
Price change18.18%
Quantity change-22.22%
Formula
Elasticity = % change in quantity demanded ÷ % change in price (midpoint method)
How to interpret the result
The midpoint method gives the same magnitude whichever direction the comparison is made. Demand elasticity is normally negative, so classification uses its absolute value.
Assumptions and limitations
This calculator is an educational estimate, not financial, investment, tax or policy advice. Use consistent units and verify material decisions against primary data and professional guidance.
Last reviewed 2026-07-14. Calculations tested 2026-07-14.