Advertisements
Advertisements
Question
In the text, you have learnt that a positively sloping straight line supply curve has the same supply elasticity at all the points. Can we say the same thing about the supply elasticity at different points on the positively sloping non-linear supply curve?
Very Short Answer
Advertisements
Solution
No. The elasticity of supply will be different at different points of the supply curve because of the varying slope of the supply curve corresponding to different points on it.
shaalaa.com
Is there an error in this question or solution?
