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

Price elasticity of supply — practice question

The diagram illustrates the supply curve of a firm. Which statement about the price elasticity of supply (PES) on this curve is correct?

  • APES is greater than unity at all points along the supply curve.
  • BPES is the same at all points along the supply curve.
  • CPES is elastic when the price is low and becomes more inelastic when the price rises.
  • DPES rises when the supply rises.

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