Midpoint Formula Economics: How to calculate the midpoint

What is Midpoint Formula?

The midpoint formula is used to find the coordinates of the midpoint between two given points. The distance between the two given points will be half of their sum if we calculate using this midpoint formula. We can calculate the length of a line segment by using distance formula . If you have more than 2 points then also we can get coordinates of the midpoint between two points.

Midpoint Formula Formula : M ( x , y ) = ( x + y 2 ) 2 , Where, M is the midpoint of line segments AB and CD . P 1 ( x 1 , y 1 ) and P 2 ( x 2 , y 2 ) are the given points. To Find : The coordinates of the midpoint M.

Solution : 

M ( x , y ) = ( x + y 2 ) 2

Midpoint between P 1 ( 4 , 3 ) and P 2 ( - 5 , 0 ) is M ( 4 + (- 5) 2, 3 + 0 2) = ( 9 - 10, 6)

Midpoint between P 1 ( 4 , 3 ) and P 2 ( - 5 , 0 ) is M ( 4 + (-5) 2, 3 + 0 2) = ( 9 - 10, 6)

Calculating Price Elasticity using Midpoint Formula

The price elasticity of demand is the ratio of percentage change in demand to percentage change in price.

YED = ΔQD / ΔP x 100%

ΔQD = Change in Quantity Demanded

YED = M(Δp/Δq) x 100%

M(d 1 , d 2 ) = ( d 1 + d 2 ) / 2

PED = Percentage change in quantity demanded

The elasticity of demand measures responsiveness to changes in price. It tells us how much the demand for a product is likely to change if there is a small increase (or decrease) in its price. If the PED value has an absolute value between zero and one, it is inelastic. If the absolute value of PED is greater than one, the demand is unit elastic. And if the absolute value of PED has a value between one and infinity, then the demand is elastic.

An organization calculates that there has been an increase in price of 15% (ΔP = 0.15) and that the total sales have decreased by 20% (ΔQD = -0.2). If PED is negative, it means there exists a relationship between price and demand. The elasticity of demand tells us how much change in quantity demanded occurred for 1% change in price.

Price Elasticity of Supply

The midpoint formula is used to calculate the elasticity of supply. 

ES = ΔQS / ΔP x 100%

ΔQS = Change in Quantity Supplied

ES = M(Δp/Δq) x 100%

Midpoint Formula Questions and Answers 

Question - 1: How to use midpoint formula to calculate the distance between two points? Answer - 1: We can calculate the length of a line segment by using distance formula . If you have more than 2 points then also we can get coordinates of the midpoint between two points. 

Question - 2: How to use midpoint formula to calculate the price elasticity of demand? Answer - 2: The PED value has an absolute value between zero and one, it is inelastic. If the absolute value of PED is greater than one, the demand is unit elastic. And if the absolute value of PED has a value between one and infinity, then the demand is elastic.

 Question - 3: How to use midpoint formula to calculate the price elasticity of supply? Answer - 3: The midpoint formula is used to calculate the elasticity of supply. ES = ΔQS / ΔP x 100%, where ΔQS = Change in Quantity Supplied. If the absolute value of PED is greater than one, the demand is unit elastic. And if the absolute value of PED has a value between one and infinity, then the demand is elastic.

Question - 4: How to use midpoint formula to find coordinates of the midpoint between two points? Answer - 4: We can calculate the length of a line segment by using distance formula . If you have more than 2 points then also we can get coordinates of the midpoint between two points. 

Question - 5: How to use midpoint formula to calculate the distance between 2 points by using coordinates? Answer - 5: Formula : M ( x , y ) = ( x + y 2 ) 2 , Where, M is the midpoint of line segments AB and CD. P 1 ( x 1 , y 1 ) and P 2 ( x 2 , y 2 ) are the given points. 

Question - 6: How to find distance between any two points? Answer - 6: Midpoint formula is used to calculate the distance between two points. M ( x , y ) = ( x + y 2 ) 2 Where, M is the midpoint of line segments AB and CD. P 1 ( x 1 , y 1 ) and P 2 ( x 2 , y 2 ) are the given points. 

Question - 7: How to use midpoint formula to calculate the distance between any two coordinates? Answer - 7: We can calculate the length of a line segment by using distance formula. If you have more than 2 points then also we can get coordinates