Final answer:
The elasticity of the demand curve p = 60 - 0.5q at p = 10 is calculated to be -0.2 by using the formula (p/q) * (1/slope of the demand curve), which does not match any of the answer choices provided.
Step-by-step explanation:
To find the elasticity of the demand curve at p = 10, plug the value of p into the demand curve equation to find q, then apply the formula for elasticity:
Elasticity (E) = (p/q) * (1/slope of the demand curve)
From the demand curve equation p = 60 - 0.5q, let's find q when p=10:
10 = 60 - 0.5q
q = (60 - 10) / 0.5
q = 100
Now, the slope of the demand curve is -0.5 (given by the coefficient of q in the equation). Using the elasticity formula:
E = (10/100) * (1/-0.5)
E = 0.1 * (-2)
E = -0.2
Since the options provided do not include -0.2, there may be an error in the question or answer choices. Even if a more detailed calculation is performed using the midpoint formula for the percentage changes, which might be what the options seem to reflect, it would not yield an elasticity of exactly any of the provided options. The correct calculation of elasticity at p = 10 for the given demand curve yields an elasticity of -0.2, but this result is not among the given choices.