Question 23
ElasticityPrice elasticity of supply measures the responsiveness of quantity supplied to
- A.changes in suppliers' income
- B.changes in prices of other commodities
- C.a change in the price of the commodity
- D.a change in the demand for the product.
Show the answer and explanation
Answer: C (a change in the price of the commodity)
Explanation
Elasticity of supply measures how quantity supplied responds to a change in the good's own price.