A coin dealer is selling a limited edition of commemorative coins, which is no longer being minted, at a weekend fair. The number of coins the dealer offers for sale at two prices is shown below.
| Price per coin | Coins offered for sale |
|---|---|
| £20 | 300 |
| £30 | 300 |
Calculate the price elasticity of supply as the price rises from £20 to £30.
Explain what this value indicates about the shape of the supply curve over this price range.
81 exam-style questions on OCR GCSE Economics 2.3 Supply, covering 2.3.1 What is supply, 2.3.2 Draw a supply curve using data, 2.3.3 Explain a supply curve, 2.3.4 Shifts and movements of the supply curve, 2.3.5 Causes and consequences of supply changes, 2.3.6 Price elasticity of supply, 2.3.7 Draw supply curves of different elasticity, and 2.3.8 Importance of price elasticity of supply. Each one has a worked solution and a mark scheme showing where the marks go.