Author Question: If output in the calculator market increases by 5 percent when the price increases by more than 5 ... (Read 107 times)

Diane · **on:** Jul 1, 2018

If output in the calculator market increases by 5 percent when the price increases by more than 5 percent, then
a. supply is inelastic
b. supply is elastic
c. a small increase in price will cause a leftward shift of the supply curve
d. a small increase in price will cause a rightward shift of the supply curve
e. a large increase in price will cause a large shift of the supply curve

Question 2

If the price of a good doubles and quantity supplied triples, then
a. demand is elastic
b. demand is inelastic
c. supply is inelastic
d. supply is elastic
e. there is insufficient information to reach any conclusion about the price elasticity of supply