A product has a price elasticity of supply of +2. As a result of a price change, the quantity supplied increases from 100 units to 120 units. What is the change in price?
- Aa fall of 10%
- Ba fall of 40%
- Ca rise of 10%
- Da rise of 40%
Economics 2281 · O Level · Price elasticity of supply (PES)
A product has a price elasticity of supply of +2. As a result of a price change, the quantity supplied increases from 100 units to 120 units. What is the change in price?