Under which condition is the supply curve expected to be more responsive to price changes?

Show Answers

During the short-term period instead of the long-termWhen production resources cannot easily move between sectorsWhen the market consists of only a small number of suppliersWhen increasing production is straightforward and feasible

Explanation

Supply tends to be more elastic when producers can easily increase output in response to price changes. If expanding production is simple, suppliers can adjust quantities supplied more readily, making supply more price elastic.