Figure 6-12 -Refer to Figure 6-12.The diagram shows two supply curves, S_A and S_B.As price rises from P₀ to P₁, which supply curve is more elastic? A)S_A B)S_B C)They are equally inelastic. D)They are equally elastic.

Question

Quizplus · Accepted Answer

The more elastic supply curve is flatter, meaning that it responds more to changes in price. In this diagram, S_B is flatter than S_A, indicating that it is more elastic. Therefore, B is the correct choice.

Figure 6-12 -Refer to Figure 6-12.The Diagram Shows Two Supply Curves, SA

Figure 6-12 -Refer to Figure 6-12.The Diagram Shows Two Supply Curves, S_A