In fall? 2006, Pace University in New York raised its annual tuition from ?$24 comma 24,250 to ?$29 comma 29,000. Freshman enrollment declined from 1 comma 1,500 in fall 2005 to 1 comma 1,100 in fall 2006. Assuming that the demand curve for places in the freshmen class at Pace did not shift between 2005 and? 2006, use this information to calculate the price elasticity of demand. Use the midpoint formula in your calculation.
?Source: Karen W.? Arenson, "At? Universities, Plum Post at Top Is Now? Shaky," New York Times?, January? 9, 2007.
The price elasticity of demand for Pace University for the fall of 2006 is nothing. ?(H?int: include the negative sign and enter your response rounded to two decimal places.?)