Economics (AS & A Level) · May / June 2023 · Paper 13 · Question 12
9708Price elasticity of supply
The diagram shows four supply curves. Which statement about the price elasticity of these supply curves is correct?
- AW has elasticity of 0 that will rise as price rises.
- BX has elasticity greater than 1 that will be constant as price rises.
- CY has elasticity greater than 1 that will fall as price rises.
- DZ has elasticity of 0 that is constant as quantity rises.
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Correct answer: C. Y has elasticity greater than 1 that will fall as price rises.
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