Advertisements
Advertisements
Questions
Define elasticity of supply.
Define price elasticity of supply
Advertisements
Solution
Price elasticity of supply refers to the degree of responsiveness of supply of a commodity in response to a change in the price of that commodity.
APPEARS IN
RELATED QUESTIONS
Draw a perfectly inelastic supply curve.
Identify the elasticity of supply for the following with proper reasoning:
Perishable and durable goods.
Identify the elasticity of supply for the following with proper reasoning:
Nature of the entrepreneurs.
Which of the following measures of price elasticity shows elasticity shows elastic supply?
If price elasticity of supply is greater than 1, then supply is said be elastic.
Which of the following statements are true?
The cost of production will increase if
- The government gives subsidies
- The firm uses obsolete technology
- The price of diesel increases
If the price elsaticity of supply is 1 and the percentage change in price is 10, then the percentage change in quatity supplied should be ______.
Elasticity of supply is measured by:
Identify the correct sequence of alternatives given in Column II by matching them with respective terms in Column I:
| Column I | Column II |
| A. Perfectly Inelastic | (i) Es > 1 |
| B. Perfectly Elastic | (ii) Es < 1 |
| C. Inelastic | (iii) Es = 0 |
| D. Highly Elastic | (iv) Es = infinity |
Choose the correct alternative:
Assertion (A): In case of perfectly inelastic supply, supply curve is a vertical straight line supply curve.
Reason (R): Supply does not change with change in price in case of Es = 0.
Which of the following measures of price elasticity shows inelastic supply?
Price elasticity of supply is likely to be ______ in the long run.
When there is no change in price, but quality supplied changes, it implies a situation of ______.
The price of a commodity rises from ₹ 20 to ₹ 40 Consequently, its supply increases from 100 units to 400 units. Calculate price elasticity of supply.
Give the meaning of perfectly elastic supply.
Give the meaning of perfectly inelastic supply.
Draw the supply curve showing price elasticity of supply equal to one.
Draw the supply curve showing price elasticity of supply less than one.
Using graphs, explain any four types of elasticity of supply.
If the price of a commodity falls by 10% and consequently, the quantity supplied decreases by 20%, what will be its elasticity of supply?
When is supply of a good unitary elastic?
What do you mean by perfectly inelastic supply?
Why is the supply of eggs inelastic?
Explain the percentage method of measuring price elasticity of supply.
With the help of a suitable diagram, explain the following degree of elasticity of supply.
Es > 1
