Inelastic Supply Definition Economics
Definition of law of supply.
Inelastic supply definition economics. Housing seems to have an inelastic supply as people are still buying expensive homes and even when they arent homes are still being built. In economics elasticity is the measurement of how an economic variable responds to a change in another. It gives answers to questions such as. An economic situation in which the price of a product will have no effect on the supply.
In a perfectly inelastic situation regardless of the amount of a product on. Categoriestypes of price elasticity of supply. There are five degrees of price elasticity of supply. 1 infinitely elastic supply.
In economics supply is the amount of something that firms producers labourers providers of financial assets or other economic agents are willing to provide to. The total amount of a good or service available for purchase. Along with demand one of the two key determinants of price.
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