--%>
Assignment Help - homework help

Elasticity of supply

Suppose that the price of peanut packets increases by 5 %, the quantity supplied of peanut increases by 8 %. Then what is the elasticity of supply?

Answer: Es = Percentage Change in quantity supplied/percentage change in Price
= 8/5
= 1.6 (Therefore the supply is elastic)

   Related Questions in Microeconomics

  • Q : Derived Demand for resources I have a

    I have a problem in economics on Derived Demand for resources. Please help me in the following question. As demands for the resources ultimately based on consumer’s demands for goods then the demand for labor is: (1) Termed as a derived demand.

    		•
  • Q : Consequence of Rational Ignorance Can

    Can someone help me in finding out the right answer from the given options. Being disappointed whenever you finally learn how some desserts are accessible after you have already told the server at a restaurant that you will try the ‘all-you-can-eat’ buffet

    		•
  • Q : Formula to Economic profit Can someone

    Can someone please help me in finding out the most accurate answer from the following question. The Economic profit equivalents: (1) Accounting profit minus the implicit costs. (2) Normal profit. (3) Net revenue minus the implicit costs. (4) Net revenue minus the expl

    		•
  • Q : Price elastic of supply between two

    In between point c and d in this supply curve of 2×4s, the price elastic of supply as: (i) 1.0. (ii) 1.6. (iii) 2.2. (iv) 2.8. (v) 3.4.

    Q : Problem on Supply of Labor Can someone

    Can someone help me in finding out the right answer from the given options. The time in which people are willing and capable to work at different wage rates throughout a specific period is termed as the: (1) Labor force participation rate. (2) Supply of labor. (3) Mar

    		•
  • Q : Positive economic loss Can someone help

    Can someone help me in finding out the right answer from the given options. Sara left her high strain job at hospital as the neurosurgeon making $250,000 yearly to launch ‘Flowers-to-Go’, a new firm. Sara still feels similar quantity of stress; therefore s

    		•
  • Q : Rate of return onto investment When the

    When the rate of return on investment equals the interest rate, in that case investment will: (w) rise. (x) fall. (y) not change. (z) Any of the above is possible. Hey friends please give your opin

    		•
  • Q : Earn zero economic profit by

    When a monopolistic competitor is earning zero economic profit, in that case this: (1) sells at a price equal to average total cost. (2) sells at a price equal to marginal cost. (3) is at the minimum point on its average total cost cu

    		•
  • Q : Least consistent demand curve with

    The demand curve which is least consistent along with the existence of a substitution consequence is within: (w) Panel A. (x) Panel B. (y) Panel C. (z) Panel D.

    Q : Absolute value for price elasticity of

    The price elasticity of demand for Robot Butlers includes the greatest absolute value at an exact price of: (i) $20,000. (ii) $16,000. (iii) $12,000. (iv) $8,000. (v) $4,000.

    Discover Q & A

    Leading Solution Library
    Avail More Than 1426682 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads
    No hassle, Instant Access
    Start Discovering

    18,76,764

    1932912
    Asked

    3,689

    Active Tutors

    1426682

    Questions
    Answered

    Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!

    Submit Assignment
    Home | Company Overview | Services | Discover Q&A | Sitemap | Contact Us | T & C | Refund Policy | Copyright Policy | Blog | Q&A | Directory

    ©TutorsGlobe All rights reserved 2022-2023.