)
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 good is considered elastic when the percentage change in quantity supplied is greater than the percentage change in price. In this case, the quantity supplied increases significantly with a small increase in price. This indicates that the good has many substitute products and suppliers can easily increase production to meet the demand at a higher price.