Supply is elastic if
A) a 1 percent change in price leads to a larger percentage change in quantity supplied.
B) a 1 percent change in price leads to a smaller percentage change in quantity supplied.
C) the slope of the supply curve is positive.
D) the good in question is a normal good.

Question

Quizplus · Accepted Answer

Supply is elastic if a 1 percent change in price leads to a larger percentage change in quantity supplied, indicating that suppliers are responsive to price changes.

Supply Is Elastic If