Economics Multiple Choice Question – 31 March 2022

What is it necessary to know in order to calculate the price elasticity of supply of a product when its price changes?

Select ONE answer:

1. the amount of the price change; the quantity demanded at the original price; the quantity supplied at the new price
2. the equilibrium market price; the quantity demanded at equilibrium; the quantity supplied at equilibrium
3. the original and new market price; the quantity supplied at the original price; the quantity supplied at the new price
4. the quantity demanded at the new price; the price change; the quantity supplied at the new Price

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 3

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

This work is licensed under a Creative Commons Attribution 4.0 International License.