When a 9 percent increase in price leads to a 6 percent increase in quantity supplied, supply is inelastic.

Name: When a 9 percent increase in price leads to a 6 percent increase in quantity supplied, supply is inelastic.
Brand: Quizplus
Rating: 4.8 (29 reviews)

Question

Quizplus · Accepted Answer

Supply is considered inelastic when the percentage change in quantity supplied is less than the percentage change in price, which is the case here (6% increase in quantity supplied vs. 9% increase in price).

When a 9 Percent Increase in Price Leads to a 6