A paving-slab producer plans to offer the weekly quantities for sale shown below. Production costs, technology and all other conditions stay the same between situations 1 and 2. Between situations 2 and 3, the cost of cement falls.
| Situation | Price per slab | Quantity supplied per week |
|---|---|---|
| 1 | £4 | 1,200 |
| 2 | £5 | 1,600 |
| 3 | £5 | 1,800 |
Calculate the increase in quantity supplied between situations 1 and 2.
Explain how the change between situations 2 and 3 differs from the change calculated in (a).
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.