The price elasticity of supply for this supply curve can be found to be 1 .
How to find the price elasticity of supply for this supply curve?
To calculate the price elasticity of supply (PES) using the given data points, you can use the following formula:
= % change in quantity supplied / % change in price
Percentage Change in Quantity Supplied:
= (200 - 100 ) / 100 %
= 100 %
Percentage Change in Price:
= ( 10 - 5 ) / 100 %
= 100 %
The price elasticity of supply is:
= 100 % / 100 %
= 1
The price elasticity of supply for this supply curve is 1. This means that the quantity supplied is perfectly elastic.