Day: December 24, 2021

When is the supply curve for a car manufacturing firm MOST likely to be price elastic?

Select ONE answer:

1. when the firm finds it difficult to recruit new labour
2. when the firm has a large quantity of stock
3. when the firm is operating in the short run
4. when the firm is operating near to full capacity

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Economics KS4 and KS5 classes.

The answer is 2

1. Not correct
2. Correct
3. Not correct
4. Not correct

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