2.3.6.3. Unitary Elastic Supply (S3S3)

2.3.6.3. Unitary Elastic Supply (S3S3)

When elasticity of supply is unitary, a change in price will cause a proportionate change in quantity supplied. Any straight line supply curve passing through the origin has a unitary elasticity throughout its length regardless of its slope.

Last modified: Monday, 26 December 2011, 9:56 AM