If a given factor of production is highly mobile across alternative uses,the factor's supply is
A)perfectly inelastic.
B)highly price inelastic.
C)immobile at the industry level.
D)highly price elastic.
E)irrelevant to its earnings.

Question

Quizplus · Accepted Answer

If a factor of production is highly mobile across alternative uses, its supply will be highly price elastic. This means that a small change in the price of the factor will result in a significant change in its supply as it can easily be shifted to other uses where it can earn a higher price.

If a Given Factor of Production Is Highly Mobile Across