Sensitivity To Elasticity Estimates



This graph shows industry average price increases predicted from the WorldCom-Sprint merger.

  • The horizontal axis is labeled WorldCom Demand Elasticity. The horizontal axis is numbered in .5 increments from -4 to -1.5.
  • The vertical axis is labeled Aggregate Elasticity. The vertical axis is numbered in .2 increments from -0.6 to -1.4.
  • There are five curving lines within the graph, the top is in the upper left corner of the graph and is labeled 1.2%.
  • The next line from the top is labeled 1.0%.
  • The third line from the top curves from the left side of the graph to the top of the graph and is labeled 0.8%.
  • The fourth curving line curves from the middle of the left side of the graph to the middle of the right side of the graph and is labeled 0.6%.
  • The last line is almost straight and curves from the left side of the graph to the horizontal axis and is labeled 0.4%.

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Updated June 25, 2015

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