Advertisements
Advertisements
प्रश्न
What is the formula for percentage method of calculating price elasticity of supply?
उत्तर
Percentage method for calculating price elasticity of supply:
Price elasticity of supply refers to the ratio of percentage change in quantity supplied to the percentage change in price.
`e_s = "Percentage change in Quantity Supplied"/"Percentage change in Price"`
`e_s = ((ΔQ)/Q xx 100)/((ΔP)/P xx 100)`
= `(ΔQ)/(ΔP) xx P/Q`
APPEARS IN
संबंधित प्रश्न
Explain any three factors affecting elasticity of supply.
When the price increases by 50% and the supply increases only by 5% the price elasticity of supply of that commodity will be ______.
Assertion (A): In case of perfectly inelastic supply, supply curve is a vertical straight line supply curve.
Reason (R): Supply does not change with change in price in case of Es = 0.
Price of a product increases by 2%. As a result, its supply rises by 4%. What is elasticity of supply of the commodity?
The price of a commodity rises from ₹ 20 to ₹ 40 Consequently, its supply increases from 100 units to 400 units. Calculate price elasticity of supply.
Give the meaning of perfectly elastic supply.
Indicate the degree of elasticity on the supply curve given below:
Draw and explain the following degree of elasticity of supply.
Ep > 1
When is supply of a good unitary elastic?
Why is the supply of eggs inelastic?
