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Economics

Consider the market for a natural resource, where the price is initially $20,000 per ton and 10,000 thousand tons are supplied.

Suppose the price of the resource falls to $19,500 per ton, at which price the market supplies 8,000 thousand tons.

What is the price elasticity of supply between these prices?

Using the midpoint formula, the price elasticity of supply is ____. (Enter your response as a real number rounded to two decimal places.)

As? such, supply is (unit elastic, elastic, or inelastic) ______________.

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M92000537

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