The Price Elasticity of Supply Measures How Responsive

question 14

Multiple Choice

The price elasticity of supply measures how responsive

• A)sellers are to a change in price.
• B)sellers are to a change in buyers' income.
• C)buyers are to a change in production costs.
• D)equilibrium price is to a change in supply.

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Definitions:

Productivity

A measure of the efficiency of production, often calculated as the ratio of output to inputs in the production process.

Standard of Living

The amount of riches, ease, physical items, and basic requirements possessed by a distinct class or region.

Productivity

The measurement of the efficiency of production, often evaluated as the ratio of output to inputs in the production process.

Human Capital

The economic value of a worker's experience and skills, including education, training, intelligence, skills, health, and other things employers value.