CourseCourseConceptConceptDocsDocuments

CAIE A-Level Economics AS 2.3.3 Pes Coefficient Questions

Practise interpreting PES from supply-curve shape and applying supply elasticity to taxes, capacity, time and equilibrium changes with CAIE Economics AS questions.

Syllabus
2026–2028
Course
Economics 9708
Level
AS

Exam points

  • Interpret supply elasticity from supply curves and apply PES to taxes, capacity, time and equilibrium changes.

CAIE A-Level Economics AS 2.3.3 Pes Coefficient Questions question 1

[Maximum number: 1]

The diagram shows the supply curve of a product.

Figure for Question CAIE A-Level Economics AS 2.3.3 Pes Coefficient Questions question 1 — CAIE A-Level Economics AS

The government imposes a specific indirect tax of $5 on the product.
How will the price elasticity of supply of the product change?

A

from elastic (>1) to inelastic (<1)

B

from inelastic (<1) to elastic (>1)

C

from inelastic (<1) to unitary (=1)

D

from unitary (=1) to elastic (>1)

All question bank results loaded