If the price elasticity of supply is 1, supply is:
A)unaffected by price changes.
B)inelastic.
C)unitary elastic.
D)elastic.

Name: If the price elasticity of supply is 1, supply is: A)unaffected by price changes. B)inelastic. C)unitary elastic. D)elastic.
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Question

Quizplus · Accepted Answer

When the price elasticity of supply is 1, it means that the percentage change in quantity supplied is equal to the percentage change in price, indicating unitary elasticity.

If the Price Elasticity of Supply Is 1, Supply Is