When economists say the price elasticity of supply is elastic, they mean that
A) suppliers are willing to produce much larger amounts of their good.
B) suppliers are willing to produce only a small amount more of their good.
C) consumers are willing to purchase much larger quantities of the good.
D) the change in quantity supplied is relatively small compared to the change in price.

Question

Quizplus · Accepted Answer

When the price elasticity of supply is elastic, it means that suppliers are willing to produce much larger amounts of their good in response to a change in price.

When Economists Say the Price Elasticity of Supply Is Elastic