If supply is elastic, the supply curve is relatively ________, and if demand is elastic, the demand curve is relatively ________.
A) flat; flat
B) flat; steep
C) steep; flat
D) steep; steep

Question

Quizplus · Accepted Answer

When supply is elastic, it means that suppliers are able to change their production levels easily in response to a price change, leading to a relatively flat supply curve. Similarly, when demand is elastic, consumers are highly responsive to changes in price, resulting in a relatively flat demand curve.

If Supply Is Elastic, the Supply Curve Is Relatively ________