This formative will explore price elasticity of supply through definitions, examples, time frames, real-world scenarios, and graph interpretation. Get ready to understand how supply can vary with different conditions!
Watch as much or as little of this video as you need to get a sense of elasticity of supply. Keep in mind, elasticity of supply is a super small part of this course! Focus on the elasticity of demand...it is huge! Be FAMILIAR with PES (price elasticity of supply) so that you can answer that 1 multiple choice question that may or may not be on the test or AP exam.
As always...benefit vs. cost.
Question 1
1.
Describe the price elasticity of supply?
Question 2
2.
A storm destroys half of a corn crop. Is this event more likely to hurt corn farmers if corn supply is price elastic or price inelastic?
Question 3
3.
Define price elasticity of supply.
Question 4
4.
Compare the price elasticity of supply in agriculture to that in technology industries.
Question 5
5.
Time frame has an impact on the price elasticity of supply.
Question 6
6.
How do natural disasters typically affect the price elasticity of supply?
Question 7
7.
What does a vertical supply curve indicate about the elasticity of supply?