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

Price elasticity of supply — practice question

A manufacturer has calculated that the price elasticity of supply of ice cream is +1.5. If demand for ice cream increases and the price rises by 10 %, by how much will the manufacturer increase the quantity supplied to the market?

  • A0.15 %
  • B1.5 %
  • C15 %
  • D50 %

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