The law of supply suggests that the price-elasticity of supply is
A)positive.
B)negative.
C)always greater than 1.
D)always less than 1.

Question

Quizplus · Accepted Answer

The law of supply suggests that as the price of a good or service increases, producers are willing to supply more of it, indicating a positive relationship between price and quantity supplied, hence the price-elasticity of supply is positive.

The Law of Supply Suggests That the Price-Elasticity of Supply