PRC-3 · Chapter 11 · Question 57 of 57
Which of the following statements about the elasticity of supply is fundamentally UNTRUE?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) It is a measure of changes in supply caused by adopting greater operational efficiency
Explanation
Price elasticity of supply specifically measures responsiveness to price, not the impact of technological efficiency (which causes a shift in the curve, not elasticity).
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