Economics 9708 · AS & A Level · Price elasticity of supply
Explain two factors that are likely to make the supply of a product relatively price-inelastic.
Discuss the policies governments may use to raise the price elasticity of supply of essential goods, and assess how effective such measures are likely to be.
This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: “Knowledge and understanding of the concept of elasticity of supply and the meaning of 'relatively price inelastic' (what the concept measures — how supply responds to a change in price)” …