Advertisements
Advertisements
Question
With the help of a formula calculate the elasticity of supply from the following table:
| Price | Quantity supplied |
| 10 | 200 |
| 15 | 225 |
Advertisements
Solution
Es = `(ΔQ)/(ΔP)xxP/Q`
= `25/5xx10/200`
= `1/4`
= 0.25
APPEARS IN
RELATED QUESTIONS
Identify the degree of elasticity of supply from the following graph:
What is the formula for percentage method of calculating price elasticity of supply?
Identify the value of elasticity of supply for the supply curve OS and S1S2.
- Price elasticity of supply of a good is 0.8, its supply is said to be inelastic.
- If the quantity supplied of a commodity remain the same whatever its price supply is said to perfectly inelastic.
Choose the correct term for the given definition.
The ratio between the percentage change in supply to a percentage change in price.
When the price increases by 50% and the supply increases only by 5% the price elasticity of supply of that commodity will be ______.
Elasticity of supply is measured by:
Pick the option which does not belong to the group.
A linear supply curve starting from the origin making an angle of 75 degree with X-axis will have ______.
When is the supply of a commodity is called elastic?
Price of a product increases by 2%. As a result, its supply rises by 4%. What is elasticity of supply of the commodity?
Give the meaning of perfectly inelastic supply.
Draw the supply curve showing price elasticity of supply greater than one.
Indicate the degree of elasticity on the supply curve given below:
Draw and explain the following degree of elasticity of supply.
Ep > 1
Identify and define the degree of price elasticity of supply from the diagram for the supply curves S1, S2, S3, S4.
If the price of a commodity falls by 10% and consequently, the quantity supplied decreases by 20%, what will be its elasticity of supply?
What do you mean by perfectly inelastic supply?
Explain the percentage method of measuring price elasticity of supply.
