What is price elasticity of supply?
What is price elasticity of supply?
Price elasticity of supply, or PES, measures how responsive quantity supplied is to a change in price. It is calculated using:
PES=% change in quantity supplied% change in price \text{PES} = \frac{\%\text{ change in quantity supplied}}{\%\text{ change in price}} PES=% change in price% change in quantity suppliedStep-by-step lessons on CIE Intl A Level Economics 2.3.4 factors affecting price elasticity of supply. Each one builds up to exam-style questions.