Economics 9708 · AS & A Level · Price elasticity of supply

Price elasticity of supply — practice question

(a)[8]

Explain the factors that are likely to cause a product's supply to be relatively price inelastic.

(b)[12]

Discuss the ways in which businesses might try to raise the price elasticity of supply of their products. Assess whether these efforts are likely to succeed.

Worked solution & mark scheme

This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: Knowledge and understanding of the idea of price elasticity of supply and an accurate formula

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