The sign of the elasticity of supply is
A) always negative.
B) always positive.
C) negative for inferior goods and positive for normal goods.
D) negative for normal goods and positive for inferior goods.

Question

Quizplus · Accepted Answer

The elasticity of supply measures how much the quantity supplied of a good responds to a change in the price of that good. It is always positive because, typically, an increase in price leads to an increase in the quantity supplied.

The Sign of the Elasticity of Supply Is