CAIE A-Level Economics 2.3.1 Price Elasticity of Supply

CAIE A-Level Economics 2.3.1 Price Elasticity of Supply
Cambridge International AS & A Level Economics 9708 syllabus for exams in 2026, 2027 and 20282026–2028

Practise defining PES as the proportionate responsiveness of quantity supplied to a price change and distinguishing it from absolute supply changes or demand effects.

How this is tested

  • state PES as percentage change in quantity supplied divided by percentage change in price
  • distinguish proportionate responsiveness from an absolute quantity change or a shift caused by demand

Question 9

[Maximum number: 1]

What is price elasticity of supply?

A

the change in the quantity supplied when a price changes

B

the change in the quantity supplied when demand changes

C

the comparison of the proportionate change in supply to the proportionate change in demand

D

the comparison of the proportionate change in supply to the proportionate change in price