A) elastic since quantity supplied increases more with an increase in price.
B) elastic since quantity supplied increases less with an increase in price.
C) inelastic since quantity supplied increases more with an increase in price.
D) inelastic since quantity supplied increases less with an increase in price.

Question

A) elastic since quantity supplied increases more with an increase in price. 
B) elastic since quantity supplied increases less with an increase in price. 
C) inelastic since quantity supplied increases more with an increase in price. 
D) inelastic since quantity supplied increases less with an increase in price.

Quizplus · Accepted Answer

A product is considered elastic if the quantity supplied changes more proportionally to a change in the price. In this case, as the price increases, the quantity supplied increases significantly, indicating that the product is elastic.

A) Elastic Since Quantity Supplied Increases More with an Increase