Microeconmoics?
Suppose that as price increases from $4.00 to $5.00 the quantity supplied of some product rises from 500 to 1000 units. Compute the price elasticity of supply for this product (4).
Answer:
ok so price elasticity is different then slope because you deal with the log log graph. So to get it all you have to do is take the percent increase in the price which is 25% and divide by the percent increase in quantity which is 100%. So the elasticity of that product is 1/4 or 25%
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Answer:
ok so price elasticity is different then slope because you deal with the log log graph. So to get it all you have to do is take the percent increase in the price which is 25% and divide by the percent increase in quantity which is 100%. So the elasticity of that product is 1/4 or 25%
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