The price elasticity of supply will be positive when supply is elastic and negative when it is inelastic. b. will be positive when demand for the good is inelastic. c. will be negative when supply is elastic and positive when it is inelastic. d. will always be positive.

The correct option is D. will always be positive.

Explanation: Price elasticity of supply is the amount of change in the quantity of goods and services supplied when the level of price changes.

Simply put, it is the change in quantity supplied, resulting from a change in price.

Now, when there is an increase in price, suppliers will feel the need to supply more. Hence, an increase in price will always lead to an increase in supply.

On the other hand, when there is a decrease in price, suppliers will feel less inclined to supply goods and services.

Therefore, the price elasticity of supply will always be positive, because the law of supply states that the quantity of a good or service supplied will always increase with an increase in price.

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