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PIE CHART: A circular graph divided into wedges that is commonly used to present the division of a total among parts. The circular "pie" represents the total value and each slice represents the portion distributed to each category. Pie charts are a handy way to present information, but are not well suited for more involved economic analysis.
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                           ELASTIC SUPPLY: The general supply relation in which relatively small changes in price cause relatively large changes in quantity supplied. Small changes in price cause relatively large changes in quantity supplied or the percentage change in quantity supplied is larger than the percentage change in price. This characterization of elasticity is most important for the price elasticity of supply. Elastic supply is one of two general elasticity relations for supply. The other is inelastic supply. An elastic supply relation is a very responsive, or stretchable, relation. The elastic relation is most often directed toward supply in terms of the price elasticity of supply. In this context, supply is said to be elastic if the percentage change in quantity is larger than the percentage change in price. This means that sellers are responsive to price changes.An elastic supply relation can fall into one of two categories--perfectly elastic and relatively elastic. - Perfectly Elastic: Perfectly elastic means an infinitesimally small change in price results in an infinitely large change in quantity supplied. This elasticity alternative exists when the price is fixed, that is, an infinite range of quantities is associated with the same price. This is the extreme, limiting case of elastic. Perfectly elastic supply can occur, in theory, when producers are able to switch resources among a large number of perfect substitutes-in-production.
- Relatively Elastic: Relatively elastic means that relatively small changes in price cause relatively large changes in quantity. Quantity is very responsive to price, but not infinitely so. The percentage change in quantity supplied is greater than the percentage change in price. Relatively elastic supply occurs when producers are able to switch resources among a large number of close but not perfect substitutes-in-production.
Recommended Citation:ELASTIC SUPPLY, AmosWEB Encyclonomic WEB*pedia, http://www.AmosWEB.com, AmosWEB LLC, 2000-2021. [Accessed: October 24, 2021].
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Today, you are likely to spend a great deal of time at an auction wanting to buy either 500 feet of coaxial cable or a coffee cup commemorating the 1960 Presidential election. Be on the lookout for small children selling products door-to-door.
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The standard "debt" notation I.O.U. does not mean "I owe you," but actually stands for "I owe unto..."
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GLS
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