If price increases from 45 to 55, the market quantity supplied ...

[JGIBBSON]

If price increases from 45 to 55, the market quantity supplied increases from 20 units per week to 30 units per week. The price elasticity of supply is
 a. 1/2 = 0.5
  b. 1.0
  c. 11/6 = 1.8333
  d. 9/4 = 2.25
  e. 2.0

Question 2

If an increase in price from 1 to 2 per unit leads to an increase in quantity supplied from 20 to 100 units, then the value of price elasticity of supply is
 a. 0.38
  b. 2
  c. 2.67
  d. 4
  e. 8

[al]

Answer to Question 1

E

Answer to Question 2

B