When a given percentage change in the price leads to a larger percentage change in the quantity supplied, supply is said to be
A)elastic.
B)unit elastic.
C)inelastic.
D)infinitely elastic.
E)perfectly inelastic.

Question

Quizplus · Accepted Answer

When a given percentage change in price leads to a larger percentage change in the quantity supplied, supply is said to be elastic. This means that producers are sensitive to price changes and can quickly and easily adjust their output levels to meet the new demand.

When a Given Percentage Change in the Price Leads to a Larger