The supply schedule of long-distance phone calls is in the table. Calculate the elasticity of supply when

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a. The price falls from 40¢ to 30¢ a minute.
b. The average price is 20¢ a minute.

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Microeconomics

ISBN: 978-0133019940

11th edition

Authors: Michael Parkin

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Question Posted: Dec 15, 2015 06:59 AM

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The supply schedule of long-distance phone calls is in the table. Calculate the elasticity of supply when

Question:

Price per minute)millions 10 20 30 40 Quantity supplied (millions of minutes per day) 200 400 600 800

Step by Step Answer:

a The elasticity of supply is 1 The elasticity of supply is the percentage change in the quantity su...View the full answer

Microeconomics

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