As price elasticity of supply increases,the supply curve
A)becomes flatter.
B)becomes steeper.
C)becomes downward sloping.
D)shifts to the right.

Question

Quizplus · Accepted Answer

As price elasticity of supply increases, it means that the change in quantity supplied is more responsive to changes in price. In other words, a small change in price will result in a relatively larger change in quantity supplied. This results in the supply curve becoming flatter, as the quantity supplied can now vary more widely in response to changes in price.

As Price Elasticity of Supply Increases,the Supply Curve