10. Price elasticity of supply in the short run and long run The following graph shows the long-run supply curve for pecans. Place the orange line (square symbol) on the following graph to show the most likely short-run supply curve for pecans. (Note: Place the points of the line either on Y and V or on Y and S.) PRICE (Dollars per pound) 24 20 16 12 co 0 0 D 4 ● S OL Long-Run Supply 2 6 8 10 QUANTITY (Thousands of pounds of pecans) 12 Short-Run Supply

10. Price elasticity of supply in the short run and long run The following graph shows the long-run supply curve for pecans. Place the orange line (square symbol) on the following graph to show the most likely short-run supply curve for pecans. (Note: Place the points of the line either on Y and V or on Y and S.) PRICE (Dollars per pound) 24 20 16 12 co 0 0 D 4 ● S OL Long-Run Supply 2 6 8 10 QUANTITY (Thousands of pounds of pecans) 12 Short-Run Supply

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter5: Elastic And Its Application

Section: Chapter Questions

Problem 3PA: Suppose the price elasticity of demand for heating oil is 02. in the short run and 0.7 in the long...

See similar textbooks

Similar questions

Define the price elasticity of supply. Explain why the price elasticity of supply might be different in the long run than in the short run.
Would you usually expect elasticity of demand or supply to be higher in the short run or in the long run? Why?
What is the price elasticity of supply? Can you explain it in your own words?
Name some factors that can cause a shift in line demand curve in markets for goods and services.
What is the difference between the supply and the quantity supplied of a product, say milk? Explain in words and show the difference on a graph with the supply curve for milk.
Suppose you learned that the price elasticity of demand for wheat is 0.7 between the current price for wheat and a price 2 higher per bushel. Do you think that farmers collectively would try to reduce the supply of wheat and drive the price up 2 higher per bushel? Explain your answer. Assuming that they would try to reduce supply, what problems might they have in actually doing so?
Name some farm that can cause a shift in the supply curve in markets for goods and services.
Using the midpoint formula for calculating the elasticity of supply, if the price of a good rose from $95 to $105, what would be the elasticity of supply if the quantity supplied changed from a. 38 to 42? b. 78 to 82? c. 54 to 66?