Figure: Supply Elasticity Refer to the figure. It shows two different supply curves. Based on the graph, which statement is TRUE?
A) The same price increase would cause a bigger increase in the quantity supplied along curve A.
B) The same price increase would cause a bigger increase in the quantity supplied along curve B.
C) Curve A reflects a less responsive supply.
D) If comparing responsiveness from a common point, like the intersection, we can conclude that supply curve B is more elastic.

Question

Figure: Supply Elasticity  Refer to the figure. It shows two different supply curves. Based on the graph, which statement is TRUE?
A) The same price increase would cause a bigger increase in the quantity supplied along curve A. 
B) The same price increase would cause a bigger increase in the quantity supplied along curve B. 
C) Curve A reflects a less responsive supply. 
D) If comparing responsiveness from a common point, like the intersection, we can conclude that supply curve B is more elastic.

Quizplus · Accepted Answer

The Answer of Figure: Supply Elasticity  Refer to the figure. It shows two different supply curves. Based on the graph, which statement is TRUE?
A) The same price increase would cause a bigger increase in the quantity supplied along curve A. 
B) The same price increase would cause a bigger increase in the quantity supplied along curve B. 
C) Curve A reflects a less responsive supply. 
D) If comparing responsiveness from a common point, like the intersection, we can conclude that supply curve B is more elastic.

Figure: Supply Elasticity Refer to the Figure