A 40% increase in price led the quantity supplied of bicycles in a competitive market to increase from 320.00 to 350.00. What is the price elasticity of supply for bicycles?What is the best description of the price elasticity of supply for bicycles?A. inelastic
B. elastic
C. normal
D. unitary elastic

A. inelastic

Explanation:

Price elasticity of supply = Percentage change in Quantity supplied / Percentage change in price

% change in Quantity supplied = (350.00-320.00) / 350.00

% change in Quantity supplied = 0.08571429

% change in Quantity supplied = 8.57%

Price elasticity of supply = 8.57/40

Price elasticity of supply = 0.21425

Conclusion: The price elasticity of supply is inelastic because the elasticity is below 1.

1   all nations face the problem of scarcity because there are limited resources and unlimited wants. nations do not have enough factors of production to produce everything that their population wants. entrepreneurial resources initiate businesses to make new goods and services; labor resources produce goods and services.

2 there are four factors of production: natural resources, labor resources, capital resources, and entrepreneurial resources. natural resources are raw materials from nature that are used to produce goods. trees, water, and grains are natural resources. some natural resources, such as wheat and cattle, are renewable

3 wants

things that you do not need to have in order to survive, but would like to have

needs

things that you must have in order to survive

goods

physical products

services

tasks that a business perform for customers

resources

items that people can use to make or obtain what they need or want

determine

to settle or decide by choice of alternatives or possiblities

4 i really dont know