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

Price elasticity of supply — practice question

The diagram illustrates two straight supply curves named S1 and S2, with S2 drawn as a 45° line. Which statement concerning the price elasticity of supply is correct?

  • AThe price elasticity of supply is different at every point along both S1 and S2.
  • BThe price elasticity of supply of S1 is elastic and S2 is unit elastic.
  • CThe price elasticity of supply of S1 is inelastic and S2 is unit elastic.
  • DThe price elasticity of supply is unit elastic at every point along both S1 and S2.

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