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

Price elasticity of supply — practice question

The price elasticity of the supply of yoghurt is estimated at +1.5. If demand for yoghurt increases and the price goes up by 20%, by what amount will market supply rise?

A0.3%
B3.0%
C13.3%
D30%

Worked solution & mark scheme

This 1-mark question has a full step-by-step worked solution and mark scheme.

Full mark scheme, point by point
Step-by-step worked solution
Write your answer & get it marked instantly by AI